TREASURY INSPECTOR GENERAL FOR TAX ADMINISTRATION

The Account Management Services Project Is Meeting Its Development Goals

Issued on March 3, 2008

Highlights

Highlights of Report Number: 2008-20-053 to the Internal Revenue Service Chief Information Officer.

IMPACT ON TAXPAYERS

The Internal Revenue Service (IRS) is continuing to modernize its databases to provide immediate access to account data, enable real-time transaction processing, and ensure daily account settlement to improve customer service and business results.The Account Management Services (AMS) project was initiated in May 2006 and has been chartered to address these needs.The objective of the AMS project is to provide an integrated approach to view, access, update, and manage taxpayer accounts by providing IRS employees with the tools to access information quickly and accurately in response to complex customer inquiries and to update taxpayer accounts on demand.

WHY TIGTA DID THE AUDIT

This audit was initiated as part of the Treasury Inspector General for Tax Administrationís Fiscal Year 2007 audit plan for reviews of the IRS Business Systems Modernization efforts.The overall objective of this review was to determine whether AMS project management and development activities are effective in providing a sound basis for the delivery and deployment of AMS releases.

WHAT TIGTA FOUND

Reviews of the initial AMS releases showed the project team successfully implemented Enterprise Life Cycle and Modernization and Information Technology Services organization project management processes and activities.These processes and activities included project justification, contract management, risk management, configuration management, performance management, and transition management.

The AMS Project Management Plan defines the project, the scope of work to be performed, and the planned methodology for managing project activities.The Plan also identifies the capabilities that Release 1 must implement for it to be considered complete.The AMS project team successfully planned work schedules, identified and addressed potential risks to project development, and coordinated with appropriate staff to implement initial release capabilities.Although the AMS project team is on schedule to make the proposed processing capabilities available, its implementation is dependent on the Modernization and Information Technology Services organizationís abilities to integrate these project capabilities into taxpayer account processing.

WHAT TIGTA RECOMMENDED

Because the AMS project team effectively implemented project management practices, TIGTA did not make any recommendations.

In response to the report, the Chief Information Officer appreciated the comments and observations acknowledging the successful implementation of the Enterprise Life Cycle and the Modernization and Information Technology Services organization project management processes for AMS Release 1.

READ THE FULL REPORT

To view the report, including the scope, methodology and full IRS response, go to:

http://www.treas.gov/tigta/auditreports/2008reports/200820053fr.html.

Email Address: ††inquiries@tigta.treas.gov

Phone Number:†† 202-622-6500

Web Site:†† http://www.tigta.gov