Skip to main content

Tax Policy and Administration

Jump To:

Recent Reports

View More Reports

Open Recommendations

Disaster Assistance: SBA Should Take Steps to Make Data Sharing with IRS More Efficient
GAO-26-107682
Mar 03, 2026
Show
1 Open Recommendations
Agency Affected Recommendation Status
Small Business Administration The Administrator of SBA should take steps to improve the efficiency of data sharing with IRS for the Disaster Loan Program. These steps could include seeking statutory authority for direct access to tax data under section 6103(l) of the Internal Revenue Code or implementing new technologies to reduce manual processing. (Recommendation 1)
Open
When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.

Puerto Rico: IRS Should Improve Oversight of Taxpayers Claiming Exemption from Federal Taxes
GAO-26-107225
Dec 12, 2025
Show
3 Open Recommendations
Agency Affected Recommendation Status
Internal Revenue Service The Commissioner of Internal Revenue should establish procedures to regularly obtain from Hacienda current data on all recipients of the Puerto Rico resident investor incentive. These procedures could incorporate GAO's leading collaboration practices. (Recommendation 1)
Open
We will update the status of this recommendation when IRS provides its 180-day letter which is expected in June 2026.
Internal Revenue Service The Commissioner of Internal Revenue should establish written procedures to review cases of potential noncompliance among recipients of the resident investor incentive that Puerto Rico government agencies identify and send to IRS. (Recommendation 2)
Open
We will update the status of this recommendation when IRS provides its 180-day letter which is expected in June 2026.
Internal Revenue Service The Commissioner of Internal Revenue should take action to promote voluntary compliance, such as sending educational letters explaining key compliance requirements to taxpayers who are benefiting from Puerto Rico's resident investor incentive. (Recommendation 3)
Open
Implementing this recommendation would strengthen compliance and potentially generate millions of dollars in additional federal tax revenue. We will update the status of this recommendation when IRS provides its 180-day letter which is expected in June 2026.

Taxpayer Experience: IRS Should Fully Establish Its Approach for Using Evidence to Assess Service Improvement Results
GAO-25-107408
Jul 17, 2025
Show
1 Open Recommendations
1 Priority
Agency Affected Recommendation Status
Internal Revenue Service
Priority Rec.
We recommend that the Commissioner of Internal Revenue fully establish an evidence-based approach, such as we identified, to determine whether and how improvements to services affect the taxpayer experience. (Recommendation 1)
Open
IRS agreed with this recommendation. In June 2025 comments on our draft report, IRS outlined planned steps for implementation. Until IRS fully establishes an evidence-based approach for the taxpayer experience, IRS will not be assured that it has the information it needs to assess progress toward its taxpayer experience goals, determine what worked well and where improvements are needed, and identify the best investments of its resources to make those improvements. We will continue to monitor progress and update this status as IRS more fully documents its planned actions to implement the recommendation, as we expect later this year.

Direct File: IRS Successfully Piloted Online Tax Filing but Opportunities Exist to Expand Access
GAO-25-106933
Dec 19, 2024
Show
3 Open Recommendations
Agency Affected Recommendation Status
Internal Revenue Service The Commissioner of Internal Revenue should ensure relevant officials collaborate on recruiting and training customer service representatives for Direct File and document an annual process for recruiting and training employees. (Recommendation 1)
Open
IRS agreed with the recommendation. In July 2025, Public Law 119-21 section 70607 provided $15 million for the Department of the Treasury to report to Congress on the cost of establishing and enhancing public-private partnerships to provide free tax filing to replace direct e-file programs run by the IRS. Following this new law, IRS stated in August 2025 that agency efforts to address this recommendation and others related to the Direct File program were contingent upon the program's continuation. In August 2025, we requested information from IRS regarding how officials may have addressed this recommendation during the 2025 tax filing season. As of September 16, 2025, we have not received the requested information.
Internal Revenue Service The Commissioner of Internal Revenue should continue to coordinate with state revenue agencies to expand taxpayer access to Direct File and, as necessary, take steps to ensure the availability of the federal Direct File program to eligible taxpayers in all states. (Recommendation 2)
Open
IRS agreed with the recommendation. In July 2025, Public Law 119-21 section 70607 provided $15 million for the Department of the Treasury to report to Congress on the cost of establishing and enhancing public-private partnerships to provide free tax filing to replace direct e-file programs run by the IRS. Following this new law, IRS stated in August 2025 that agency efforts to address this recommendation and others related to the Direct File program were contingent upon the program's continuation. In August 2025, we requested information from IRS regarding how officials may have addressed this recommendation during the 2025 tax filing season. As of September 16, 2025, we have not received the requested information.
Internal Revenue Service The Commissioner of Internal Revenue should ensure IRS's planned research on potential Direct File users includes research questions that will allow the agency to collect data that can be used to prioritize the development of new capabilities for Direct File. (Recommendation 3)
Open
When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
View More Recommendations

Related Pages

GAO Contacts

Multimedia

Podcasts

IRS’s Efforts to Improve Customer Service and the Taxpayer Experience
Transcript
Shift from Corporations to Partnerships Causes Challenges for IRS Audits
Transcript
Protecting Taxpayer Data from Unauthorized Access by IRS Employees
Transcript