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This letter summarizes our review of the Internal Revenue Service's (IRS) implementation of the requirements of the Office of Management and Budget's (OMB) revised Circular No. A-123, Management's Responsibility for Internal Control (A-123) during fiscal year 2006.
Since the passage of the IRS Restructuring and Reform Act of 1998 (RRA 98), the Internal Revenue Service (IRS) has faced the challenge of managing its resources to simultaneously improve service to taxpayers, assure taxpayers' compliance with the tax laws, and modernize its antiquated information systems....
This testimony discusses the management challenges that continue to face the Internal Revenue Service (IRS). These challenges include (1) computer security, (2) financial management, (3) organizational modernization and performance management, and (4) business systems modernization management.