Improvements to the Tax-Exempt Compliance Unit Could Reduce Mistakes and Unproductive Examination Referrals

Consider developing a TECU workstream for taxpayers that potentially have multiple delinquencies.

Eliminate the requirement for TECU examiners to conduct additional research on the taxpayer’s account beyond the noncompliance issue assigned in the TECU workstream.

Issue clear and consistent procedural guidance for TECU examiners to follow when conducting compliance checks.

Revise the initial contact letters to provide taxpayers the option to submit the requested returns electronically.

The Commissioner, TE/GE Division, should better align procedural guidance for TECU examination referrals with CP&C criteria for assigning cases to the Examination functions.