The Internal Revenue Service Can More Effectively Address Noncompliance by Better Using and Controlling the Fed/State Program

The Commissioner, SB/SE Division, should expand the SARP to other State agencies by requesting that the Privacy, Governmental Liaison, and Disclosure (PGLD) Office contact each of the agencies. The SB/SE Division should evaluate the responses and determine whether further actions are warranted to obtain State participation and coordinate those responses with the PGLD Office.

The Commissioner, SB/SE Division, should evaluate high-income and repeat nonfilers prior to dropping them from SARP inventory and document the analysis if not selected for examination.

The Chief Privacy Officer, PGLD, should coordinate with the SB/SE Division to ensure that all Fed/State agreements are accounted for in the IAD. In addition, the PGLD Office should routinely review and validate all agreements in the database to ensure that the database is current.