IRS Cash Is in Danger of Drying Up for Technology Upgrades

The IRS is more tech savvy than ever—reducing its reliance on paper and readying updates to its aging computer systems—but the agency warns a lack of new funding would stall or even reverse gains.

Despite bipartisan support for the IRS to upgrade its tech to improve taxpayer services, Congress has provided zero annual funding for business systems modernization the last two years. The agency expects to rely on other funding sources for tech modernization if it doesn’t get additional supplemental funding, and is sounding the alarm that the squeeze—even with billions in one-time supplemental money—could lead to modernization efforts falling ...