WASHINGTON—The Inflation Reduction Act Strategic Operating Plan was designed to be a living document, an Internal Revenue Service official said.
The plan, which outlines how the IRS plans to spend the additional nearly $80 billion in supplemental funds allocated to it in the Inflation Reduction Act, was written to be a “living document. It’s not meant to be something static that stays on the shelf and never gets updated, and just becomes an historic relic,” Bridget Roberts, head of the IRS Transformation and Strategy Office, said May 5, 2023, at the ABA May Tax Meeting.
Roberts also described the plan as a tool to help bring the agency together and more unified in its mission.
“We intentionally wrote the plan to sort of break down some of those institutional silos,” she said. “So, we didn’t write it based on business unit or function.”
She framed the development of the plan a “cross-functional, cross-agency effort,” adding that it “wasn’t like, ‘here’s how we’re going to change wage and investment or large business.’ It was, ‘here’s how we’re going to change service and enforcement and technology. And those pieces touch everything.”
Roberts also highlighted the need for better data analytics across the agency, something that the SOP emphasizes particularly as it beings to ramp up enforcement activities to help close the tax gap.
“We are never going to be able to hire at a level that you can audit everybody,” she said. “So, the ability to use data and analytics to really focus our resources on where we think there is true noncompliance,” rather than conducting audits that result in no changes. “That’s not helpful for taxpayers. That’s not helpful for the IRS.”
By Gregory Twachtman, Washington News Editor