(Washington, DC) The IRS Oversight Board met on December 12, 2011 to review the progress on the Customer Account Data Engine 2, scheduled to "go live" on January 2012. The Oversight Board also discussed the IRS' fiscal year 2011 performance, its readiness for the upcoming filing season, and its efforts to help taxpayers who are victims of identity theft.
"The IRS Oversight Board is pleased that the CADE 2 program is meeting its schedule. CADE 2 will allow for daily, versus weekly, processing of accounts. For taxpayers, that will mean faster refunds and payment postings, and ultimately quicker and more efficient notices and account adjustments. This is a great step forward for taxpayers," said Oversight Board Chairman Paul Cherecwich, Jr.
At the meeting, the IRS and the Board also discussed the IRS FY2011 end-of-year performance and its 2012 goals. The IRS reported an overall good performance; most business divisions met their performance targets. In addition, the rate of returns filed electronically rose to approximately 78 percent for those returns filed by individuals. Taxpayers' use of online self service tools also rose.
The IRS also briefed the Board on its preparations for the upcoming filing season. Preparations began last summer to ensure IRS readiness for the filing season and the major changes associated with the January transition to CADE 2.
The Board was briefed on IRS efforts to assist the victims of identity theft. IRS initiatives include the creation of an Identity Protection Unit to establish new ways to protect taxpayer privacy, as well as a centralized point of contact for taxpayers who are or may become victims.
Other topics discussed included IRS plans to enhance the IRS web site and its online service channels to help taxpayers, as well an overview of the Electronic Tax Administration Advisory Committee, which counsels the IRS on matters relating to electronic tax administration. The Board also discussed IRS long-term plans to develop a "real time taxpayer system initiative," a concept first introduced in a speech IRS Commissioner Doug Shulman made last spring. The concept envisions moving the system away from the "look back" model of compliance and performs substantially more upfront matching of tax returns when they are first filed.
Cherecwich Reelected; Board Public Meeting Scheduled for February
The Board reelected Paul Cherecwich, Jr. for a third, two-year term as Chairman. Mr. Cherecwich is a retired tax attorney with extensive experience in both the private and tax practitioner world. He resides in Utah. In addition, the Board is planning a public meeting on February 28, 2012, in Washington, DC. More details will be made available in the coming weeks.