Treasury Department:
An Assessment of the Need for a Statutory Inspector General
AFMD-86-3: Published: Aug 21, 1986. Publicly Released: Sep 30, 1986.
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In response to a congressional request, GAO reviewed the audit and investigative activities the Department of the Treasury's organizational units conducted, focusing on the differences and similarities between the organization and operation of those units and those of the statutory offices of inspector general in other executive branch departments and agencies.
GAO found that: (1) Treasury's Inspector General (IG) has audit and investigative responsibility for only 11 percent of Treasury's operating budget, while law enforcement bureaus' internal affairs and inspection staffs audit and investigate 89 percent of the budget; (2) the law enforcement bureaus report the results of their internal audits and investigations to bureau management; (3) since the head of internal affairs determines which audits are significant and reports them to IG, there is no assurance that the Secretary is informed of audit and investigative issues that could have a departmentwide impact; and (4) Treasury does not routinely inform Congress about its audit and investigative activities.
Matter for Congressional Consideration
Status: Closed - Implemented
Comments: A statutory IG was established by the Inspector General Act Amendments of 1988, signed into law in October 1988.
Matter: Congress should amend the Inspector General Act of 1978 to establish an Office of Inspector General at Treasury in order to strengthen management's control, promote efficient and effective operation, combat fraud, waste, and abuse, and ensure that the Secretary of the Treasury and Congress are kept fully and currently informed of any serious problems. The Internal Revenue Service should be included under the new statutory IG. Congress could also consider special legislative provisions to accommodate Treasury's concerns over the possible disclosure of sensitive law enforcement and tax information.
Explore the full database of GAO's Open Recommendations
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Explore the full database of GAO's Open Recommendations
Jan 14, 2021
Tax Administration:
Better Coordination Could Improve IRS's Use of Third-Party Information Reporting to Help Reduce the Tax GapGAO-21-102: Published: Dec 15, 2020. Publicly Released: Jan 14, 2021.
Nov 18, 2020
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IRS Reorganization:
Planning Addressed Key Reform Practices, but Goals and Measures for the Plan Have Not Been FinalizedGAO-21-18: Published: Oct 19, 2020. Publicly Released: Nov 18, 2020.
Nov 9, 2020
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Opportunity Zones:
Improved Oversight Needed to Evaluate Tax Expenditure PerformanceGAO-21-30: Published: Oct 8, 2020. Publicly Released: Nov 9, 2020.
Oct 19, 2020
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Tax Administration:
Opportunities Exist to Improve Oversight of Hospitals' Tax-Exempt StatusGAO-20-679: Published: Sep 17, 2020. Publicly Released: Oct 19, 2020.
Sep 23, 2020
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Taxpayer Service:
IRS Could Improve the Taxpayer Experience by Using Better Service Performance MeasuresGAO-20-656: Published: Sep 23, 2020. Publicly Released: Sep 23, 2020.
Aug 31, 2020
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Abusive Tax Schemes:
Offshore Insurance Products and Associated Compliance RisksGAO-20-589: Published: Jul 30, 2020. Publicly Released: Aug 31, 2020.
Jun 29, 2020
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Taxpayer Compliance:
More Income Reporting Needed for Taxpayers Working through Online PlatformsGAO-20-366: Published: May 28, 2020. Publicly Released: Jun 29, 2020.
Jun 16, 2020
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Tax Exempt Organizations:
IRS Increasingly Uses Data in Examination Selection, but Could Further Improve Selection ProcessesGAO-20-454: Published: Jun 16, 2020. Publicly Released: Jun 16, 2020.
May 1, 2020
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Management Report:
Improvements Are Needed to Enhance the Internal Revenue Service's Internal Control over Financial ReportingGAO-20-480R: Published: May 1, 2020. Publicly Released: May 1, 2020.
Apr 30, 2020
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Priority Open Recommendations:
Internal Revenue ServiceGAO-20-548PR: Published: Apr 23, 2020. Publicly Released: Apr 30, 2020.
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