1.55.6  W&I Government Accountability Office (GAO) and Treasury Inspector General for Tax Administration (TIGTA) Post-Audit Process

Manual Transmittal

September 26, 2013

Purpose

(1) This transmits revised IRM 1.55.6, Wage and Investment - W&I Government Accountability Office (GAO) and Treasury Inspector General for Tax Administration (TIGTA) Post-Audit Process.

Material Changes

(1) IRM 1.55.6.2, Roles and Responsibilities, changed reference to IRM 1.4.24 to IRM 1.4.30.

(2) IRM 1.55.6.3, Tracking and Reporting Requirements, removed reference to National Taxpayer Advocate, and edited other text.

(3) IRM 1.55.6.4, Identifying Planned Corrective Action Reports and Actions, deleted duplicate paragraph (a), and updated organizations in Table 1.4.

(4) IRM 1.55.6.6 (1), Obtaining Access to the JAMES, edited text.

(5) IRM 1.55.6.7, Verifying the JAMES Report, added information regarding the coding of redacted reports and the responsibility of each coordinator, and edited other text.

(6) IRM 1.55.6.8, Duplicate Planned Corrective Actions, updated Table 1.5 to clarify possible actions taken when a lead is identified.

(7) IRM 1.55.6.9.1, Implementing Planned Corrective Actions, changed reference to IRM 1.4.24 to IRM 1.4.30.

(8) IRM 1.55.6.9.2, Implementing Planned Corrective Actions With Outcome Measures, added information regarding addressing outcome measures when a planned corrective action is implemented at the close of the audit; included reference to see IRM 1.4.30 for additional information.

(9) IRM 1.55.6.9.5, Extending Planned Corrective Actions, added reference to IRM 1.4.30.

(10) IRM 1.55.6.11, Transferring Planned Corrective Actions, edited text.

(11) IRM 1.55.6.13, Uploading Support Documentation, added reference to see IRM 1.4.30.6.8

(12) IRM 1.55.6.15.1(1), JAMES Reports, edited text.

(13) Editorial changes were made throughout this IRM.

Effect on Other Documents

IRM 1.55.6 dated October 4, 2012 is superseded.

Audience

W&I and other IRS business division GAO/TIGTA audit coordinators

Effective Date

(09-26-2013)

Robin L. Canady
Director, Strategy and Finance
Wage and Investment Division

1.55.6.1  (01-01-2011)
Overview

  1. The IRS is subject to annual audits conducted by the Government Accountability Office (GAO) and the Treasury Inspector General for Tax Administration (TIGTA) to ensure its programs and activities are operating according to established policies and procedures. The Office of Internal Control (OIC) administers the agency's management control programs. Within the Wage and Investment (W&I) division the Office of the Director, Strategy and Finance, maintains program oversight. Management controls are identified as:

    • A-123 Assessments

    • Remediation Plans

    • Material Weaknesses (MW)

    • Significant Deficiencies (SD)

    • National Taxpayer Advocate (NTA) Most Serious Problems (MSPs)

    • GAO and TIGTA Audit Planned Corrective Actions (PCAs)

1.55.6.2  (09-26-2013)
Roles and Responsibilities

  1. The OIC has program oversight for all IRS GAO and TIGTA audit corrective action plans (findings, recommendations and planned corrective actions). Business unit and field coordinators assist in managing the post-audit inventory. See IRM 1.4.30, Monitoring Internal Control Planned Corrective Actions, for more information on Servicewide guidance.

  2. The OIC desk officer is responsible for:

    1. Serving as the liaison between the business division and the Department of Treasury

    2. Coordinating the completion of management controls with each business division

    3. Establishing reports in the Joint Audit Management Enterprise System (JAMES) tracking system of IRS' planned corrective actions, reports, material weaknesses, significant deficiencies, and remediation plans

    4. Reviewing and validating all Program Office (PO) User (business unit coordinators) entries into the JAMES that implement or extend planned corrective actions

    5. Preparing reports/charts regarding IRS audit(s), material weaknesses, remediation plan(s), and status and inventory activities

  3. The W&I business division coordinator is responsible for:

    1. Serving as the liaison between W&I and the OIC

    2. Overseeing the completion of W&I GAO/TIGTA corrective action plan inventory

    3. Coordinating status updates with each business unit coordinator

    4. Tracking performance measures

    5. Preparing and providing status reports to W&I management

    6. Serving as the business division JAMES coordinator

    7. Maintaining final audit and post-audit records

    8. Reconciling the business division corrective action plan inventory

  4. The W&I business unit coordinator is responsible for:

    1. Verifying and tracking post-audit GAO/TIGTA activity

    2. Serving as the business unit JAMES coordinator

    3. Ensuring activities required to implement planned corrective actions are monitored and completed by field personnel

    4. Preparing and providing status reports through the business unit to division headquarters management and the OIC

    5. Updating the status of planned corrective actions

    6. Conducting a review of the action status and inventory

    7. Reconciling the business unit’s inventory of planned corrective actions

    8. Preparing ad hoc reports

    9. Maintaining audit files

1.55.6.3  (09-26-2013)
Tracking and Reporting Requirements

  1. Compliance with the Federal Managers Financial Integrity Act (FMFIA), the Federal Financial Management Improvement Act (FFMIA), the Office of Management and Budget (OMB) Circulars, Treasury Directives, and the GAO and TIGTA guidelines is essential to effectively managing internal controls.

  2. The OIC tracks the status of all IRS material weaknesses, significant deficiencies and audit action plans and financial accomplishments. Information from these plans is used to evaluate the effectiveness and progress of IRS addressing potential weaknesses and implementing suggested recommendations.

  3. The JAMES is a U.S. Treasury owned web based system used to track and report data from action plans. The JAMES is one of three applications under the Financial Analysis and Reporting System (FARS) which perform analysis and reporting functions in the areas of proprietary and budgetary accounting, management control and audit follow-up, and performance measurement. Reports are established as a result of Treasury Office of Inspector General (OIG), the TIGTA, and the GAO audits. The JAMES tracks IRS planned corrective actions that address findings from internal management reviews, information on the FMFIA, material weaknesses, significant deficiencies, and FFMIA remediation plans.

  4. Data can be extracted from the JAMES by:

    1. Creating ad hoc reports

    2. Running standard reports

    3. Performing basic queries

    4. Performing advance queries

1.55.6.4  (09-26-2013)
Identifying Planned Corrective Action Reports and Actions

  1. TIGTA and GAO planned corrective action reports tracked in the JAMES are identified by a unique numbering sequence.

    1. The TIGTA report numbers are comprised as follows:

      Example:

      2012-00-000

      Table 1.1. — TIGTA Report Number Explanation

      Digits in TIGTA Report Number Represent
      First four digits Fiscal year in which the final report is issued

      Example:

      A final report dated December 5, 2011 (Fiscal Year 2011), would have “2011” as the first four digits.

      Note:

      Hyphens are placed after the fourth and sixth digits.

      Fifth and sixth digits Lead IRS business program, TIGTA business unit and/or a special focus of the audit (e.g., American Recovery and Reinvestment Act of 2009 (ARRA), Affordable Care Act of 2010 (ACA), etc.). See Table 1.3 for codes and information related to the audit focus.

      Note:

      Hyphens are placed after the fourth and sixth digits.

      Seventh, eighth, and ninth digits Sequential number assigned by TIGTA.

    2. The GAO report numbers are comprised as follows:

      Example:

      GAO-10-000

      Table 1.2. — GAO Report Number Explanation

      Digits in GAO Report Number Represent
      First three digits GAO

      Note:

      Hyphens are placed after the third and fifth digits.

      Fourth and fifth digits Fiscal year the report was opened

      Note:

      Hyphens are placed after the third and fifth digits.

      Sixth, seventh, and eighth Sequential number assigned by GAO

  2. TIGTA and GAO planned corrective action numbers are comprised of the finding number, the recommendation number, and the planned corrective action number.

  3. Planned corrective action plans are assigned a lead business division generally identified by the organizational symbols; referred to as the "responsible organization in the JAMES."

  4. Planned corrective actions are generally assigned to a specific business unit to implement. Referred to as the "responsible employee in the JAMES." The responsible employee is generally extended to the third and fourth level. See Table 1.4. for a list of W&I's responsible employees.

    Table 1.3. — IRS Program Areas and TIGTA Business Unit Codes

    IRS Business Programs TIGTA Business Units Code
    Headquarters Operations and Exempt Organizations Programs Management Services and Exempt Organizations (MSE) 10
    Information Systems Programs Security and Information Technology Services (SITS) 20
    Small Business and Corporate Programs Compliance and Enforcement Operations (CEO) 30
    Wage and Investment Income Programs Returns Processing and Account Services (RPA) 40

    Note:

    If the middle digit ends in "1" that indicates the report is associated with the American Recovery and Reinvestment Act of 2009; if the middle digit ends in "2" that indicates the report is related to anti-fraud; and if the middle digit ends in "3" that indicates the report is associated with the Affordable Care Act of 2010.

    Table 1.4. — W&I Responsible Employee List

    Responsible Business Unit Organizational Symbols Responsible Business Unit Responsible Employee
    Business Modernization Office SE:W:BMO Business Performance Solutions SE:W:BMO:BPX
    Business Systems Planning SE:W:BMO:BSP
    Customer Account Data Engine (CADE 2) Project Office SE:W:BMO:CADE
    Lean Six Sigma Center of Excellence SE:W:BMO:LSS
    Customer Assistance, Relationships and Education SE:W:CAR Field Assistance SE:W:CAR:FA
    Media and Publications SE:W:CAR:MP
    Stakeholder Partnerships, Education and Communications SE:W:CAR:SPEC
    Customer Account Services SE:W:CAS Accounts Management SE:W:CAS:AM
    Electronic Products Service and Support SE:W:CAS:EPSS
    Joint Operations Center SE:W:CAS:JOC
    Submission Processing SE:W:CAS:SP
    Compliance SE:W:CP Filing and Payment Compliance SE:W:CP:FPC
    Program Management SE:W:CP:PM
    Reporting Compliance SE:W:CP:RC
    Return Integrity and Correspondence Services SE:W:RICS Business Performance Lab SE:W:RICS:BPL
    Integrity and Verification Operations SE:W:RICS:IVO
    Office of Taxpayer Correspondence SE:W:RICS:OTC
    Refundable Credits Administration SE:W:RICS:RCA

1.55.6.5  (10-04-2012)
Tracking Corrective Action Plans

  1. At the close of an audit, a corrective action report is entered into the JAMES. In order for management to comply with the OIC’s reporting requirements, each corrective action within an action plan has an estimated implementation date. The JAMES tracks planned corrective actions for all Treasury Department agencies by the projected implementation date.

  2. A new report number is assigned in the JAMES. This number tracks post GAO and TIGTA audit activity. For TIGTA, the report numbering sequence includes the fiscal year the report was issued followed by two digits representing the lead stakeholder or lead business division, followed by a three digit sequential number (for example 2005-40-018). For a list of codes, See Table 1.3.

  3. For GAO, the numbering sequence usually changes from the job code under which the work was conducted (for example, 450389) to the corrective action plan report. The two middle digits represent the fiscal year in which the report is issued followed by a three digit sequential number (for example GAO-05-062).

1.55.6.6  (09-26-2013)
Obtaining Access to the JAMES

  1. Contact the W&I headquarters coordinator to obtain current procedures for requesting system access.

  2. Program users are issued a logon and password from the Department of Treasury to access the JAMES.

  3. Request for JAMES access should be sent through the user's manager to the W&I Headquarters Coordinator.

  4. The following information is needed to request access to the JAMES:

    • Employee Name

    • E-mail Address

    • Telephone Number

    • Level of Access (read-only or full)

    • Account Type( new or modified)

    • Office Organizational Symbol (e.g., SE:W:BSP)

  5. A temporary password is generally issued two to three days after receipt from the FARS Help Desk with a user ID.

  6. Users will be required to read and acknowledge receipt of the FARS User Responsibility Statement and the Rules of Behavior document online before gaining access to the application.

    Note:

    TIGTA representatives have access to the JAMES and send requests directly to their designated JAMES responsible official.. GAO representatives do not have access to the JAMES; however, they generally contact the OIC to request planned corrective action status updates.

  7. Passwords should be changed every 90 days and an automatic notification will be sent from Treasury as a reminder.

    Note:

    Accounts with no activity generally expire after six months and the OIC will have to be contacted to reactivate.

1.55.6.7  (09-26-2013)
Verifying the JAMES Report

  1. When new actions are entered into the JAMES, the OIC desk officer sends a notification email to the W&I business division. See Exhibit 1.55.6-1 for an example. The verification process involves the division coordinator and the business unit coordinator reviewing the JAMES report (findings, recommendations and corrective action plan(s)) for accuracy and returning a notification of concurrence or non-concurrence.

  2. When a business unit concurs with the report and no outcome measures are identified, an email response can be returned to the OIC.

  3. When a redaction request has been made to a final audit report, the OIC should code the JAMES report as "Redacted Report" in the comments area. These JAMES reports may include text that has been redacted from the final audit report posted on the auditing agency's website. Caution should be used when distributing JAMES reports containing redacted information. Distribution should be limited to need to know only.

  4. When a business unit has major discrepancies with the report and/or outcome measures are identified, a memo should be sent to the OIC under executive signature. See Exhibit 1.55.6-2 and Exhibit 1.55.6-3 for examples of memos. If more than one business unit is identified in a report, a separate notification/memo is forwarded from each business unit.

    Note:

    Memo should be prepared in accordance with Document 11426, IRS Correspondence Manual.

  5. The OIC desk officer, the W&I business division coordinator, and the business unit coordinator each play significant roles in ensuring planned corrective actions are implemented and reported timely to Congress.

  6. The OIC desk officer is responsible for:

    1. Receiving notification of an audit closing from GAO or TIGTA

    2. Entering the report into the JAMES

    3. Noting the responsible business division and/or business unit coordinator of the planned corrective action plan(s)

    4. Noting reports issued without recommendations

    5. Noting if the JAMES report has been redacted

    6. Requesting missing planned corrective action plan(s) if necessary

    7. Sending the responsible business division and/or business unit coordinator a copy of the planned corrective action report is being tracked in the JAMES

    Note:

    For a GAO report, the OIC may request verification of a JAMES report containing only the findings and recommendations. When this occurs, the OIC makes an open request for the business unit to submit the missing planned corrective action plan(s) including ; established due date(s); and the responsible official(s). This information should be outlined in the 60-day response. For a TIGTA report, the OIC may request verification even though the JAMES report is closed or contains only findings with no reported recommendations.

  7. The W&I business division coordinator is responsible for:

    1. Receiving notification from the OIC of new planned corrective actions being tracked in the JAMES

      Note:

      The business unit coordinator should still be contacted to concur or not concur with the information in the report even if the report is entered in the JAMES as closed or without planned corrective actions.

    2. Reviewing the JAMES report for accuracy

    3. Notifying the business unit coordinator of the request for review

    4. Tracking dates and any issues or concerns with the JAMES report

    5. Routing all JAMES report verification correspondence to the OIC; generally, within 30 - 45 days after the issuance of the final audit report

  8. The W&I business unit coordinator is responsible for:

    1. Confirming finding(s), recommendation(s), and planned corrective action(s) are stated accurately

    2. Verifying if the JAMES report should be noted as redacted

    3. Ensuring the due date of the planned corrective action is the 15th day of the month

    4. Ensuring the correct responsible official is designated

    5. Ensuring potential outcome measures are correctly stated and a tracking method is in place to report the realized/unrealized benefits when the recommendation is implemented

      Note:

      The OIC will post a $1 in the Actual Benefits Amount field to indicate IRS' disagreement with any outcome measure amount reported in the final audit report and tracked in the JAMES.

    6. Securing authorized signatures when a substantial disagreement with the findings, recommendations, planned corrective action(s), or outcome measures are identified. When this occurs, the memo should clearly address the discrepancies, the monetary benefit type(s) and the amount(s), and the responsible executive within the function should sign the memo. Memos are prepared according to Document 11426

    7. Ensuring a notification of concurrence or non-concurrence is returned to the business division coordinator on or before the requested due date.

    Note:

    The data tracked in the JAMES is reported to Congress through the Department of Treasury; therefore the accuracy of the information is important.

1.55.6.8  (09-26-2013)
Duplicate Planned Corrective Actions

  1. When responding to an audit recommendation, it may be decided that more than one IRS business division or more than one W&I business unit are responsible for implementing a planned corrective action. If this is the case then duplicate or multiple planned corrective actions may be established and tracked in the JAMES. Communication between the affected offices, headquarters, and the OIC is important and necessary. See Table 1.5 for general guidance in recognizing when a duplicate planned corrective action may be established if two or more officials are noted or implied as a responsible official in the final audit response.

    Table 1.5. — Duplicate Planned Corrective Action Guidance

    IF THE AUDIT RESPONSE IDENTIFIES... THEN...
    One business division and/or business unit One planned corrective action is generally established in the JAMES with the business division and/or business unit listed as the responsible employee.
    Two or more business divisions and/or business units are listed, but one business division and/or business unit is identified as the “lead.” Duplicate planned corrective actions are generally not established in the JAMES for each business division and/or business unit listed.
    Two or more business divisions and/or business units Duplicate planned corrective actions are generally established in the JAMES; for each business division and/or business unit listed as a responsible official.

    Note:

    In some cases the decision to duplicate or not to duplicate a planned corrective action has already been cleared through the business unit's management and staff during the audit phase.

1.55.6.9  (10-04-2012)
Updating Planned Corrective Action Reports

  1. Activities in a planned corrective action report should be updated to record actions taken to delay an action, to implement an action, to cancel an action or supersede an action.

  2. Due dates of open planned corrective actions should be closely monitored to ensure actions are updated timely and activities taken accurately complete the recommended task.

  3. When tasks are delayed, it generally means extreme circumstances have prevented implementation of the planned corrective action by the scheduled due date. See IRM 1.55.6.9.5, Extending Planned Corrective Actions for a complete list of acceptable reasons to extend the due date of a planned corrective action.

  4. A "place holder" action plan may be established allowing management to address recommendations before the final due date. Actions in a "place holder" action plan are usually presented in complete or partial steps pending outcomes of task forces, studies, or annual reviews. The action plan as well as the place holder plan should clearly identify those actions management intends to take on the agreed-upon recommendation(s).

  5. If a "place holder" action plan is being tracked in the JAMES, management has time to address and implement the plan while considering their options or desired future goals. Management can also reassess the situation and provide a new corrective action plan with a delayed due date that fully addresses the recommendation(s) or provide a revised "place holder" planned corrective action and delayed due date with steps management will now take to address the recommendation(s).

1.55.6.9.1  (09-26-2013)
Implementing Planned Corrective Actions

  1. Most planned corrective actions are set with an implementation due date of the 15th of the month.

  2. Activities to implement a planned corrective action should be completed by the agreed upon due date.

  3. Management officials should ensure activities are completed timely and accurately.

  4. If the action requires computer programming, the programming should be completed and actually in use before the planned corrective action is considered implemented. Submission of a work order or placing a program in test mode generally does not justify implementation.

  5. If the action requires the issuance of an IRM or the revision of a form or publication, the form or publication should be published or officially made available to users by the date of implementation.

    Note:

    The actions taken to implement a planned corrective action should mitigate the risk of the audit finding. The OIC reviews actions taken with this in mind. See IRM 1.4.30, Monitoring Internal Control Planned Corrective Actions for additional guidance and IRM 1.55.6.12 for more information on timely implementing extending, and updating planned corrective actions.

1.55.6.9.2  (09-26-2013)
Implementing Planned Corrective Actions With Outcome Measures

  1. Potential outcome measures, represent either the possible dollar amounts available (cost savings) or the funds gained (additional revenue) when recommendations from an audit are implemented.

  2. Of the eight categories of outcome measures, only three are tracked in the JAMES; they are 1) Increased Revenue, 2) Questioned Costs, and 3) Funds Put to Better Use.

  3. The amount of outcome measures realized with the implementation of a corrective action, including zero ($0) amounts, must be addressed on the Form 13872 to close an action. See Exhibit 1.55.6-4. It must be clear what actions were taken to realize the amount reported.

  4. The category of the realized monetary benefit that is listed on Form 13872 should be the same as the potential monetary benefit first identified in the audit report. The JAMES must be updated to reflect realized outcome measures (including zero amounts) in order to complete the status update.

  5. The reporting of outcome measures realized may need to be addressed during the JAMES report verification process if PCAs are being entered into the JAMES as already implemented at the close of the audit. These incidents are addressed on a case-by-case basis. See IRM 1.4.30.6.8 (8), Audit Reporting, Monitoring, and Requirements, for additional guidance.

1.55.6.9.3  (10-04-2012)
Canceling Planned Corrective Actions

  1. When the implementation of an agreed-upon planned corrective action plan first identified in the final audit report is not possible, a request to cancel or close action(s) can be made to the auditing agency. The request to cancel a corrective action plan should be approved before the due date in the JAMES. The reason should be clear, and the justification substantiated. See Exhibit 1.55.6-5 for an example of a request to cancel a planned corrective action.

  2. To request cancellation of a TIGTA planned corrective action, prepare a memo for the signature of the W&I Commissioner, address the memo to the Deputy Inspector General. Copy the OIC. A notification of TIGTA's decision to concur or not concur should be returned. See Exhibit 1.55.6-6 and Exhibit 1.55.6-7 for examples of TIGTA responses.

  3. To request cancellation of a GAO planned corrective action, the correspondence (e.g., memorandum or email) should be addressed to the GAO and routed through the Director, Office of Internal Control. See Exhibit 1.55.6-8 and Exhibit 1.55.6-9 for examples of request and concurrence to request.

    Note:

    All correspondence to cancel a planned corrective should be routed through the office of Program Evaluation and Improvement.

1.55.6.9.4  (10-04-2012)
Superseding Planned Corrective Actions

  1. When an audit produces action(s) previously recommended in another audit, and those action(s) are still open, the status of the previous action will be updated from "open" to "superseded." The recommended action will then be tracked through the new report. The repeat audit indicator field in the JAMES should also be updated.

1.55.6.9.5  (09-26-2013)
Extending Planned Corrective Actions

  1. When an activity, program or product required to implement a planned corrective action plan is unattainable by the original due date, implementation of the corrective action is usually postponed. A status update and justification for the extension is required; the status remains open and a justification to extend the planned corrective action is noted.

  2. Justification for extending a planned corrective action is categorized. The specific category is captured on the Form 13872, Planned Corrective Action (PCA) Status Update for TIGTA/GAO/MW/SD/TAS/REM Reports and in the JAMES.

  3. The Department of Treasury has approved the following categories and definitions for extending planned corrective actions:

    • Research/Analyze Data – Delays in implementation in order to perform additional analysis or studies

    • Publishing – Delays in issuing or publishing guidance or manuals

    • Concurrence – Delays due to planned corrective actions that are coordinated with other offices before the action could be implemented, closed, or cancelled

    • Outcome Measures – Delays to address associated actual outcome measures

    • Legal – Delays due to waiting for the resolution of a legal issue

    • Clearance – Routing delays for comments or reviews (supporting documentation must show that it is in the final stage of the review process)

    • Budget – Delays due to waiting for the approval of funding

    • Resources – Delays due to the lack of insufficient resources due to budget constraints

    • Contracting – Delays due to waiting for contract awards or when procurement activities are not complete

    • Information Technology (IT) – Unforeseen release delays due to programming or hardware/software issues

    Note:

    Extending the original implementation due date of a planned corrective action is considered a late response by the Department of Treasury. IRS' performance measure of planned corrective actions met and/or extended is shared with IRS executives during operational reviews and other executive briefings (e.g., Operations Strategy Board, and Financial Management Control Executive Steering Committee). See IRM 1.4.30, Monitoring Internal Control Planned Corrective Actions for more information on performance reporting.

1.55.6.10  (10-04-2012)
Documenting Status Updates to Planned Corrective Actions Using Form 13872

  1. The Form 13872, Planned Corrective Action (PCA) Status Update for TIGTA/GAO/MW/SD/TAS/REM Reports is used to document the status change of the planned corrective action. The Form 13872 is uploaded into the JAMES and used by the OIC to validate the status update.

  2. Executive signature is required on the Form 13872 or the transmittal cover memo. See Exhibit 1.55.6-10 for an example of a status update cover memo. The contact person listed on Form 13872 in section eight (a - c) should be a subject-matter expert able to clarify activities related to the corrective action plan if requested by the OIC, TIGTA, GAO, or other management official. The signature of the responsible business unit JAMES coordinator in section nine (a - d) is required. Documentation that does not reflect the appropriate signatures or contain the required information should be returned for correction.

    Note:

    Electronic signatures are acceptable on Form 13872; however, conformed signatures shown as "/s/" will not be accepted.

1.55.6.11  (09-26-2013)
Transferring Planned Corrective Actions

  1. If ownership of a planned corrective action should be reassigned to another W&I business unit, concurrence should be obtained and documented; however, a formal memo of concurrence is not necessary.

  2. If ownership of a planned corrective action should be reassigned to another business division, concurrence is needed from the accepting official. A formal memo from the transferring business division head to the reassigned business division head should be prepared. See Exhibit 1.55.6-11.

  3. Correspondence should clearly identify the report number, the planned corrective action number, and the reason for transfer.

  4. The signed memo and/or other communications supporting the reassignment should be forwarded to the OIC to complete the reassignment in the JAMES.

    Note:

    Correspondence pertaining to the transfer of a planned corrective action should be routed through the Office of Program Evaluation and Improvement.

1.55.6.12  (10-04-2012)
Timeliness

  1. The activities implementing planned corrective actions should be completed by the agreed-upon date in order to be considered timely implemented. The status of a planned corrective action must also be updated in the JAMES on or before the controlled due date in order to be considered implemented timely. The OIC requires all status changes (implementations, cancellations, and extensions) to be updated in the JAMES on or before the due date. See Table 1.6, Table 1.7, and Table 1.8 for criteria for timely implementing and extending all planned corrective actions and updating the JAMES.

    Note:

    The business unit coordinators are encouraged to submit the appropriate paperwork to document the status change of a planned corrective action by the first of the month. This should allow adequate time to process and validate the status change.

    Table 1.6. — Timely Implementing a Planned Corrective Action

    If... And... Then...
    Activities to implement a planned corrective action have a due date in the JAMES of December 15, and are completed by December 15, The cover memo or Form 13872 Planned Corrective Action (PCA) Status Update for GAO/TIGTA Reports is signed on, or before December 15, The action is considered implemented timely.
    Activities to implement a planned corrective action have a due date in the JAMES of December 15, and are not completed by December 15,   The action is considered not implemented timely.

    Table 1.7. — Timely Extending a Planned Corrective Action in the JAMES

    If..., And..., Then...
    Activities to implement a planned corrective action have a due date in the JAMES of December 15, and are not completed by December 15, The status change to extend the due date is input into the JAMES on or before December 15, The action is considered extended timely.
    Activities to implement a planned corrective action have a due date in the JAMES of December 15, and are not completed by December 15, The status change to extend the due date is input into the JAMES after December 15, The action is considered not extended timely.

    Note:

    The planned corrective action will appear as MISSED on the Treasury scorecard until timely implemented or timely extended.

    Table 1.8. — Timely Updating a Planned Corrective Action in the JAMES

    If... And... Then...
    The planned corrective action due date is December 15, The status change is input into the JAMES on or before December 15, The action is considered updated timely. The JAMES should reflect the implementation date as December 15.
    The planned corrective action due date is December 15, The status change is input into the JAMES after December 15, but by the fifth (5) work day (e.g., December 18), The action is considered updated timely in the JAMES.

    Note:

    The OIC will reject the update and roll back the status change date to December 15; so, the planned corrective action is considered updated timely in the JAMES.

    The planned corrective action due date is December 15, The status change is input into the JAMES after December 15 and after the fifth (5) work day (e.g., December 26), The action is not considered updated timely in the JAMES.

    Note:

    All necessary documentation (e.g., signed Form 13872, cover memo, etc.) must be submitted timely to the OIC in order to validate actions with the Department of Treasury.

1.55.6.13  (09-26-2013)
Uploading Support Documentation

  1. Effective November 1, 2010, the Department of Treasury mandated the use of the JAMES feature to store support documentation. This requires the completed; signed; and dated planned corrective action Status Update Form 13872 or other executive certification documents, to be uploaded in the JAMES at the time the planned corrective action status is input.

    Note:

    This mandate also includes material weaknesses, significant deficiencies and remediation plan actions. See IRM 1.4.30.6.8 for additional guidance.

  2. The business unit coordinator should ensure all documentation to support the implementation of a planned corrective action is uploaded into the JAMES.

  3. Approved documents must be converted to a Word, Excel, or PDF format before uploading.

  4. Examples of support documents include: the Form 13872, formal reports of studies and research projects, official notes documenting formal decisions made during planning meetings, published forms and publications, and course materials.

  5. Due to the high visibility of these uploaded documents, the OIC recommends that the information entered in the JAMES match the narrative provided on the Form 13872 or other executive certification document, that the documents are completed accurately, contain all signatures and dates, and are grammatically correct.

  6. Documents cannot be edited or deleted by the business unit coordinator or the business division coordinator once uploaded into the JAMES.

    Note:

    Currently only the OIC desk officer can remove an uploaded document from the JAMES.

1.55.6.14  (10-04-2012)
Final Validation of Planned Corrective Actions

  1. The W&I business unit coordinator uploads the signed Form 13872 into the JAMES. IRM 1.55.6.13

  2. The W&I headquarters business division coordinator should review the Form 13872 uploaded in the JAMES before the OIC desk officer performs their final validation.

  3. The OIC desk officer performs a final review and validation of a planned corrective action updated in the JAMES.

  4. If additional information is needed, the OIC desk officer should communicate through the headquarters business division coordinator.

1.55.6.15  (10-04-2012)
Reports

  1. A variety of reports are used to manage the GAO/TIGTA planned corrective action inventory and communicate related information about management controls data. Monthly, quarterly, and annual reports are prepared to capture the number of actions opened, closed, delayed, and the performance rating of timely responses. See Table 1.9 for a list of frequently used reports.

1.55.6.15.1  (09-26-2013)
JAMES Reports

  1. Standard reports are developed and enhanced by programmers at the Department of Treasury. The Reports Menu in the JAMES lists over 29 standard reports. Refer to the JAMES User Manual for a complete list of reports. Standard reports are generated in a HTML or Excel format.

  2. The JAMES also allows the creation of user defined reports. Data from user defined reports are formatted using Microsoft Office applications (e.g., Excel, Word, and PowerPoint). Information from almost every data element can be extracted and/or used in a calculation to obtain needed data. User defined reports can be shared among JAMES program users. Refer to the JAMES User Manual for assistance in creating user defined reports.

    Table 1.9. — List of Frequently Used Reports

    REPORT TITLE REPORT DESCRIPTION
    A3 - Open Recommendations without PCAs Identifies reports entered without the planned corrective actions; pending submission of the final response to OIC.
    A4 - Overdue PCAs Identifies actions currently due, but not implemented or the due date is not been extended. Run after the 15th of the month.

    Note:

    Planned corrective actions updated in the JAMES, but pending validation by the OIC also appear on this report.

    A5 - Open PCAs Report Provides detailed information of all open planned corrective actions.
    A6 - Audit Summary Provides a descriptive report of findings, recommendations, and planned corrective actions for a specific audit report.
    S2 - Scorecard Detail Report Reports bureau scores of "Met", "Missed" and "Extended" PCAs during a specific time-frame. Usually ran to show Track-9 completed data.
    User Defined - Actions Currently Due Provides a list of open planned corrective actions due for a specific timeframe. Ran bi-monthly and sent to the business unit coordinators with actions due.
    User Defined - Actions Entered as of Provides a list of any new planned corrective actions added to the JAMES during a specific timeframe. Run in the middle and end of the month.
    User Defined - Actions Closed as of Provides a list of planned corrective actions closed during a specific timeframe. Run at the end of the month.

1.55.6.16  (10-04-2012)
Records Management

  1. In accordance with the Federal Records Act of 1950 and pursuant Title 44, USC 3102, an official record of a GAO or TIGTA audit should be maintained by the division headquarters office.

  2. The IRS established a records management program to ensure the economical and efficient management of its records. The program provides for the application, on a continuing basis, of sound management practices and techniques in the creation, maintenance, retrieval, preservation and disposition of records. See IRM 1.15.1 the Records and Information Management Program, for additional information. All Federal employees are required by law to preserve records containing adequate and proper documentation of the organization, functions, policies, decisions, procedures and essential transactions of the agency. See IRM 1.10.3.2.3, Emails as Possible Federal Records, for additional information.

  3. GAO audit records should be retired to the Washington National Records Center (WNRC) two years after closing, and destroyed when 20 years old.

  4. TIGTA records should be prepared for retirement to the WNRC two years after closing, transferred in five-year segments (i.e., 1993 – 1998), and destroyed after ten years.

Exhibit 1.55.6-1 
Example of a JAMES Report Verification Email

This is the official notification sent by the OIC to the business division that the report has been entered into the JAMES.

The Office of Internal Control (OIC) is now tracking the following new Treasury Inspector General for Tax Administration (TIGTA) and/or Government Accountability Office (GAO) audit reports in Treasury’s Joint Audit Management Enterprise System (JAMES): 2006-40-XXX (TIGTA DRAFT #200540XXX), “INDIVIDUAL INCOME TAX RETURNS WERE TIMELY PROCESSED IN 2005; HOWEVER, IMPLEMENTATION OF TAX LAW CHANGES COULD BE IMPROVED,” ISSUED DECEMBER 29, 2005

Audit Report - New audit report listed above has been entered into the JAMES. A JAMES A6 audit report abstract is provided as an attachment for these new audit reports. To ensure accuracy of the information reported to Treasury, please review the audit report findings, recommendations, corrective action descriptions and outcome measures, if applicable. The A6 report can also be reviewed in JAMES by clicking on the “Standard Reports” button, enter the report number and then click “Run - A6 Report.”

Please follow the steps below and respond by the response due date at the top of this email:

  • Notify me immediately (phone/email) if the information contained in the JAMES is incomplete and/or inaccurate

  • If the information contained in the JAMES is correct, the lead coordinator in the functional area responsible to address the corrective action(s) should send me an email concurrence by the response due date

  • A concurrence memorandum, signed by a responsible official at the executive level l, is only required if there is a substantial disagreement or if outcome measures have been identified

Future Updates - IRS requires the responsible employee to notify OIC regarding the status of their corrective actions. For a planned corrective action to be considered entered in JAMES timely:

  • All implemented planned corrective actions must be reported in the JAMES within five working days of the due date.

  • The amount of outcome measures realized must be addressed, if applicable.

  • All extended/rescheduled planned corrective actions must be reported in the JAMES on or before the scheduled due date.

  • Documentation for all planned corrective action status updates must be approved by an executive, an equivalent, or actor.

  • Electronic signatures are acceptable, however conformed signatures shown as "/s/" will not be accepted.

  • Each business division should ensure planned corrective actions are updated accurately and timely with support documentation uploaded in the JAMES.

For implemented actions, OIC will backdate the action five working days to reflect the implementation date. For example: to be considered timely, a corrective action due June 15, 2010 must be completed on or before June 15, 2010 and entered into JAMES by June 21, 2010. OIC has the capability to backdate your entry date to June 15, if you meet the above reporting requirements.

Transfers and Changes - If responsibility is being transferred to another official, you must provide OIC with a memorandum identifying the report and reason for transfer. The transfer:

  • Must have a signed concurrence from the accepting official.

  • Must include all information previously received, including this e-mail should be provided to the accepting official.

  • Will need concurrence from the Treasury Inspector General for Tax Administration (TIGTA) in order to REJECT a recommendation, CANCEL a planned corrective action, or CHANGE a planned corrective action.

  • Will need concurrence from the Government Accountability Office in order to REJECT a recommendation, CANCEL a planned corrective action, or CHANGE a planned corrective action for a GAO report.

If you have any questions or need further assistance, please e-mail me or contact me on (XXX) XXX-XXXX.

Exhibit 1.55.6-2 
Example of a Non-Concurrence Memorandum

This memo is sent to the OIC by the business division when significant discrepancies are discovered in the JAMES report that need to be corrected. The executive that owns the planned corrective action in questions generally prepares the memo. The memo is sent through the W&I headquarters office.

Note:

The memo should be left justified, printed on W&I letterhead, and follow other correspondence rules in accordance with Document 11426, IRS Correspondence Manual.

RESPONSE DUE DATE: JULY 22, 2005

MEMORANDUM FOR CHIEF OFFICE OF INTERNAL CONTROL

FROM: John Doe

Director, Customer Account Services (CAS) W&I

SUBJECT: Verification of Joint Audit Management Enterprise System (JAMES) Audit Summary Report

The Customer Account Services (CAS) function has been assigned the responsibility of responding to specific corrective actions found in the attached JAMES Verification Report, GAO-05-247R, "MANAGEMENT REPORT: IMPROVEMENTS NEEDED IN IRS’ INTERNAL CONTROLS, " ISSUED APRIL 27, 2005.

After careful review, we identified significant discrepancies with information pertaining to the findings, recommendations, corrective actions and or outcome measures (if applicable).

We specifically do not concur with (fill-in)

If additional information is needed, please contact Jane Doe, Audit Coordinator, at (XXX) XXX-XXXX.

Attachment

Exhibit 1.55.6-3 
Example of a Concurrence Memorandum Addressing Outcome Measures

This memo is sent to the OIC by the business division when the JAMES report contains outcome measures. The executive that owns the planned corrective action associated with the recommendation generally prepares the memo. The memo is sent through the W&I headquarters office.

Note:

The letter should be left justified and printed on W&I letterhead in accordance with Document 11426, IRS Correspondence Manual.

February 20, 2006

MEMORANDUM FOR CHIEF OFFICE OF INTERNAL CONTROL

FROM: Jane Doe

Director, Customer Assistance Relationships and Education (CARE) W&I

SUBJECT: Verification of Joint Audit Management Enterprise System (JAMES) Audit Summary Report

The Customer Assistance Relationships and Education (CARE) function has been assigned the responsibility of responding to specific corrective actions found in the attached JAMES Verification Report, 2004-30-XXX (200230XXX), "TRENDS IN CUSTOMER SERVICE TAXPAYER ASSISTANCE CENTERS SHOW PROCEDURAL & TRAINING CAUSES FOR INACCURATE ANSWERS TO TAX LAW QUESTIONS," ISSUED NOVEMBER 22, 2003.

After careful review we agree with the information pertaining to the findings, recommendations, corrective actions as identified in the attached report.

Potential Benefit Amounts: The following estimate(s) of potential benefit amounts in this audit are reasonable.

Better Used Funds: $3,100,000

Questioned Costs: $100,000,000

Revenue Funds: $9000,000,000

Concur: ________________________________________________ Date: ___________________
Director, Customer Assistance Relationships and Education (CARE)  

If additional information is needed, please contact Jane Doe, Audit Coordinator, at (XXX) XXX-XXXX.

Attachment

Exhibit 1.55.6-4 
Example of a Form 13872 Addressing Outcome Measures

This is a sample of Form 13872, Planned Corrective Action (PCA) Status Update for TIGTA/GAO/MW/SD/TAS/REM Reports, (Rev. 10-2010), used to report the activities of a planned corrective action status update. This sample is reporting the implementation of a planned corrective action containing outcome measures.

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Exhibit 1.55.6-5 
Example of a Memorandum Requesting Cancellation of a TIGTA Corrective Action

This memo is used to request concurrence to close a TIGTA planned corrective action. The memo is sent from the W&I Commissioner to the TIGTA's Deputy Inspector General

Note:

The memo should be left justified, printed on W&I letterhead, and follow other correspondence rules in accordance with Document 11426, IRS Correspondence Manual.

MEMORANDUM FOR TREASURY INSPECTOR GENERAL FOR TAX ADMINISTRATION

FROM: John Doe

Commissioner, Wage and Investment Division

SUBJECT: Request to Close Corrective Action 1-1-3 from Internal Audit Report #71399, "Quality of Information Document Processing"

I am writing to request your concurrence to close corrective action 1-1-3 from the subject Internal Audit report dated March 3, 1997. Your recommendation and our justification for closing these actions follow.

Recommendation #1: Service reports, such as Martinsburg Computing Center (MCC) Report 405-02-12, should be reviewed to determine whether large variances between process years exist in the volume and dollars of information documents. These analyses should be completed prior to the release of information to the states and other third parties and should include multiple year comparisons.

Corrective Action #1-1-3: IRS management is considering creating an automated process that highlights dollar and volume anomalies by comparing the current tax year report data with the prior year report data. Until we automate this task, management will continue to perform cursory reviews, or reviews on specific income types. Customer Service and Submission Processing will coordinate writing a manual and developing automated review process.

Background: The Auditors found that service control systems allowed problems with Service Center Recognition/Image Processing System (SCRIPS) data to go undetected. Because of the SCRIPS scanning problems, we posted incorrect information to the Information Returns Master File (IRMF). After we identified the processing errors, we took corrective actions to minimize the effects of the erroneous data on compliance programs and external users of the data. We later analyzed the July 1996 IRS report (Martinsburg Computing Center Report 405-02-12), which showed that SCRIPS scanning errors continue.

The finding was the result of SCRIPS Optical Character Recognition (OCR) "misreading" dollar amount fields, human errors, and filer errors. The SCRIPS was "looking" for dollar amounts so small (font size) that it would see a comma as the number 9 and periods as the number 0. The SCRIPS would also translate dollars signs, negative signs, and other non-numeric characters into numbers resulting in, large errors, sometimes in the trillions of dollars. The SCRIPS transcribers also made keypunch errors or approved erroneous dollar amounts by answering "OK" to visual verifications of dollar amounts. Filers errors and our use of "summary forms" that totaled all the dollar amounts reported in a submission, also contributed to SCRIPS errors. SCRIPS transcribers processed summary forms as just another Form 1099.

To address Recommendation 1, we submitted a Request for Information Services (RIS) to create a report that highlights dollar and volume anomalies by comparing the current tax year report data with the prior year report data. We have attempted to have Information Systems (IS) implement the RIS numerous times since the completion of the audit, the last time in May 2002, but IS has repeatedly rejected the RIS.

Justification to Close This Action:

The IRS has taken actions to refine the OCR processes, modify transcription instructions, and alert filers of summary documents. These actions have reduced erroneous SCRIPS so much that the report, which we planned to create through the RIS, would be of no material value. The corrective actions we are taking and have taken to reduce erroneous SCRIPS errors, and the cursory reviews IS conducted, are the same corrective actions required if the proposed comparison report showed dollar or volume anomalies.

For a detailed description of IRS’ actions to reduce erroneous SCRIPS errors, see the attached.

I hope this information justifies our conclusion that implementing this corrective action is not appropriate. If you agree that we should close this corrective action, please sign below. If you have any questions, please call Jane Doe, Senior Tax Analyst at (XXX) XXX-XXXX.

Attachment

Concurrence: __________________________________________ Date: ___________________
John Doe, Deputy Inspector General  

Exhibit 1.55.6-6 
Example of a Memorandum Concurring the Closure of a TIGTA Planned Corrective Action

This cover memo is received from the TIGTA when they concur to IRS' formal request to close a planned corrective action. The cover memo usually includes IRS' signed request for closure memo, and sent via email to the W&I Commissioner.

Note:

The memo is usually printed on Department of Treasury letterhead.

DEPARTMENT OF THE TREASURY

WASHINGTON, D.C. 20220

MEMORANDUM FOR COMMISSIONER, WAGE AND INVESTMENT DIVISION

FROM: John Doe

Deputy Inspector General

SUBJECT: Request to Cancel Corrective Action 1-1-3 from Audit Report #73455, Quality of Information Document Processing

You have requested the Treasury Inspector General for Tax Administration’s concurrence in canceling corrective action 1-1-3 relating to the subject report. As requested, I have indicated my concurrence by my signature on the attachment.

If you have any questions, please contact me, or your staff may contact Jane Doe, Director, Office of Management and Policy at (XXX) XXX-XXXX.

Attachment

cc: Office of Internal Control

Attn: Jane Doe

Exhibit 1.55.6-7 
Example of a Memorandum Not Concurring the Closure of a Planned Corrective Action

This memo is received from the TIGTA when they do not concur to IRS' formal request to close a planned corrective action. The memo is usually sent via email to the W&I Commissioner.

Note:

The memo is usually printed on Department of Treasury letterhead.

MEMORANDUM FOR COMMISSIONER, WAGE AND INVESTMENT DIVISION

FROM: John Doe Deputy Inspector General for Audit

SUBJECT: Request to Close Joint Audit Management Enterprise System (JAMES) Planned Corrective Actions (PCA) 1-1-1, 1-3-1, 1-5-1, and 1-6-1 from Audit Report 2010-XX-XXX “Additional Security is Needed for Access to the Registered User Portal,” (Audit #XXXXXXXX)

Thank you for the opportunity to review your justifications for closing the four unresolved corrective actions, as mentioned in the subject line of this memorandum. Based on our review of your justifications, we disagree with the closure of the four recommendations on the JAMES because the access control weaknesses associated with these recommendations still exist. These corrective actions are critical to minimize the risk of unauthorized access to taxpayer data.

For all four recommendations, your corrective actions depended on the completion of the Unified Work Request (UWR) to:

  • Update the Automated Suitability Analysis Program to collect and retain suitability information for specific delegated users, which would allow the IRS to initial criminal background and tax compliance checks (corrective action #1-1-1),

  • Complete requisite programming changes to the Third Party Data Store so that complete results of the Automated Suitability Analysis Program’s spouse tax compliance checks are posted (corrective action #1-3-1),

  • Bring the Registered User Portal into compliance with password composition and history retention (corrective action # 1-5-1), and

  • Complete programming modifications to include a series of challenge questions to unlock user accounts (corrective action #1-6-1).

After reviewing the UWR, the MITS Executive Review Board deemed the actions as “Not Mission Critical,” and not driven by legislative need. As such, the corrective actions were not completed.

For corrective action #1-1-1, you also cite that delegated users who have Preparer Tax Identification Numbers (PTIN) will be subject to return preparer suitability checks. While you also cite that there is a high probability that many delegated users will have PTINs, we have not received any evidence or support as how many delegates have PTINs. In addition, we recognize that some delegated users may not be preparing tax returns, which means they do not need a PTIN and would not be subject to any suitability checks.

We would like for your organization to continue to work with the MITS organization to complete your original corrective actions to our recommendations. We believe the corrective actions for four recommendations should remain open until such time when the original corrective actions are completed or alternate correctives actions are proposed and completed that would address the access control deficiencies.

Please contact me at (XXX) XXX-XXXX if you have any questions or John Doe, Assistant Inspector General for Audit (Security and Information Technology Services), at (XXX) XXX-XXXX.

Exhibit 1.55.6-8 
Example of a Request to Cancel a GAO Corrective Action

This request is used to request concurrence to close a GAO planned corrective action. This memo should be sent from W&I Commissioner to the Government Accountability Office.

MEMORANDUM FOR GOVERNMENT ACCOUNTABILITY OFFICE

FROM: John Doe

Commissioner, Wage and Investment Division

SUBJECT: Request to Close Planned Corrective Action 1-14-1 from Audit Report GAO-03-143, “IRS Needs to Further Refine Its Filing Season Performance Measures,” issued January 7, 2003

I am writing to request your concurrence to close corrective action 1-14-1 from the subject audit report issued January 7, 2003. Your recommendation and our justification for closing this action is as follows:

Recommendation:

Given the importance of automated telephone assistance, develop a customer satisfaction survey and measure for automated assistance.

Response:

We agree that measuring customer satisfaction with automated services is important. Our newer interactive internet services have satisfaction surveys incorporated in the program. We are continuing to upgrade our automated services and will be implementing telephone system architectural changes as part of the Customer Communications Engineering Study. We will review your recommendation to evaluate the benefit of programming and implementing a customer satisfaction survey system based on outdated delivery systems.

Background Information:

The Tele Tax application contained an automated customer satisfaction survey in Fiscal Years (FY) 1996 and 1997 but it was discontinued in FY 1998. The IRS responded to a Government Accountability Office audit recommendation in 1998 that we would expand future Tele Tax customer satisfaction surveys upon completion of Voice Response Unit (VRU) migration in FY 2000. From 1999 to 2009, the VRU platform underwent three modernizations of architectural changes to new platforms. The Information Technology (IT) Division advised the Wage and Investment Division to delay the implementation of the survey until the final platform and architectural migrations were completed. Upon final completion of the VRU migration in FY 2009, W&I submitted a unified work request (UWR) for the creation of an automated survey. Competing with other business priorities, MITS was unable to implement this UWR due to funding and resource constraints. We have recently resubmitted the UWR for reconsideration and it remains unfunded through January 2011, due to other competing critical business priorities.

Justification to Close this Action:

Completing an automated survey for automated self-service telephone applications is a desired, non-critical, enhancement. However, business funding continues to remain limited unless for critical business imperatives, modernization and key legislative initiatives.

Accordingly, I request your concurrence with the recommendation to close this planned corrective action. If you have any questions, please contact me or members of your staff may contact Jane Doe, Senior Operations Advisor, Joint Operations Center, Customer Accounts Services at (678) XXX-XXXX.

Concurrence: __________________________________________ Date: ___________________
John Doe, Comptroller General  

Exhibit 1.55.6-9 
Example of a Concurrence to Cancel a GAO Corrective Action

This response is received from the GAO when they concur to IRS' formal request to close a planned corrective action without full implementation. Usually due to funding. The response is usually returned via email to the business unit contact or the W&I Commissioner.

From: Jane Doe [mailto:DoeJ@gao.gov]

Sent: Friday, January 08, 2010 3:11 PM

To: John Doe; John Q. Public

Cc: Jane Doe; Jane Q. Public

Subject: The IRS Needs to Further Refine It's Season Performance Measures

We received IRS's 12/23/09 letter concerning our recommendation in GAO-03-143 that IRS should implement a customer satisfaction survey for automated calls. We acknowledge that IRS continues to think this recommendation is a good one, but that you all would like to close it as not implemented because it has not been funded. Please note that we will be updating our work pertaining to automated calls and the need for a customer satisfaction survey during our FY 2010 filing season (450816) and/or FY 2011 budget reviews (450820). During that time, we will determine if a similar recommendation is warranted.

If you have any further questions, please give me a call at 404-XXX-XXXX.

Relevant Contacts: FY 2010 Filing Season Jane Doe, Assistant Director and John Doe, Analyst-in-Charge FY 2011 Budget

Sincerely,

Jane

Exhibit 1.55.6-10 
Example of a Cover Memorandum

This memo is sent to the W&I headquarters office along with the signed Form 13872 to report the status update of a business unit's planned corrective actions.

Note:

The memo should be left justified, printed on W&I letterhead, and follow other correspondence rules in accordance with Document 11426, IRS Correspondence Manual.

MEMORANDUM FOR DIRECTOR, OFFICE OF INTERNAL CONTROL

FROM: John Doe

Director Customer Assistance Relationships and Education (CARE) W&I

SUBJECT: Update to the Joint Audit Management Enterprise System (JAMES)

Attached and summarized below are JAMES updates for planned corrective actions that fall within Wage and Investment Division’s Customer Assistance Relationships and Education.

Report Number Corrective Action Status
2000-30-XXX 1-1-1 Completed
2001-30-XXX 4-2-2 Completed
2001-40-XXX 1-1-1 Completed
2002-30-XXX 1-2-2 Completed
2003-40-XXX 2-1-1 Completed
2003-30-XXX 1-3-1, 1-5-1 Delayed to 3-15-07
2003-30-XXX 1-6-1, 1-8-1 Completed
2003-40-XXX 1-1-1 Completed
GAO-03-XXX 1-14-1 Delayed to 1-15-07
GGD-99-XX 1-5-1 Superseded
GAO-03-XXXR 3-3-1 Completed

If you have questions or need additional information, please contact Jane Doe at (XXX) XXX-XXXX.

Attachments (13)

Exhibit 1.55.6-11 
Example of a Memorandum Requesting The Transfer of a Planned Corrective Action

This memo is used to request the transfer of a planned corrective action from one business division to another. The memo is sent from the W&I Commissioner to the head of office of the gaining office.

Note:

The memo should be left justified, printed on W&I letterhead, and follow other correspondence rules in accordance with Document 11426, IRS Correspondence Manual.

MEMORANDUM FOR JOHN DOE DEPUTY COMMISSIONER FOR SERVICES AND ENFORCEMENT

FROM: Jane Doe

Commissioner, Wage and Investment Division

SUBJECT: Transfer of Open Treasury Inspector General for Tax Administration Planned Corrective Actions

With the realignment of program offices under the Electronic Tax Administration and Refundable Credits Office (ETARC), effective October 9, 2011, the Wage and Investment division has identified nine Planned Corrective Actions (PCAs), from three Treasury Inspector General for Tax Administration (TIGTA) audit reports, that should be transferred to the Office of Online Services and the Return Preparers Office under the Deputy Commissioner for Services and Enforcement.

The planned corrective actions to transfer are:

  1. From the audit report Additional Security Is Needed For Access To The Registered User Portal 2010-XX-XXX (Audit # 2009XXXXX), PCAs 1-5-1 and 1-6-1 will be transferred to the Office of Online Services; and PCAs 1-1-1 and 1-3-1 will be transferred to the Return Preparers Office.

  2. From the audit report Systems Validations Are Insufficient To Prevent The Unauthorized Use of Electronic Filing Identification Numbers 2011-XX-XXX (Audit # 2010XXXXX), PCAs 1-1-1, 1-2-1, 1-3-1, and 1-6-1 will be transferred to the Return Preparers Office. (3) From the audit report Individuals Who Are Not Authorized To Work In The United States Were Paid $4.2 Billion in Refundable Credits 2011-XX-XXX (Audit # 2009XXXXX), PCA 4-1-3 will be transferred to the Return Preparers Office.

Your concurrence to transfer the identified planned corrective actions is requested. Audit liaisons from the Office of Online Services and the Return Preparers Office have been briefed, and all are in agreement with the specifics of the transfers. A detailed listing of the planned corrective actions discussed is attached. In addition, the Office of Internal Control has been notified. They will work with the Department of Treasury to ensure the planned corrective actions, currently tracked in the Joint Audit Management Enterprise System, are updated to accurately reflect the appropriate organizational codes and the responsible business organization under the Deputy Commissioner for Services and Enforcement.

For questions, or if additional information is needed, please contact me or a member of your staff may contact John Doe, Chief, Program Evaluation and Improvement, at 404-XXX-XXXX.

Attachment

Concurrence: __________________________________________ Date: ___________________
John Q. Public, Deputy Commissioner for Services and Enforcement  

cc: Office of the IRS Internal Control

Exhibit 1.55.6-12 
List of Acronyms

This is a list of acronyms used throughout this IRM.

Acronym Definition of Acronym
CARE Customer Assistance, Relationships and Education
CAS Customer Account Services
CP Compliance
FARS Financial Analysis and Reporting System
FMC ESC Financial Management Control Executive Steering Committee
FFMIA Federal Financial Management Improvement Act
FMFIA Federal Managers’ Financial Integrity Act
GAO Government Accountability Office
HTML Hyper Text Markup Language
JAMES Joint Audit Management Enterprise System
LB&I Large Business and International
MSP Most Serious Problem
MW Material Weakness
NTA National Taxpayer Advocate
OIC Office of Internal Control
OSB Operations Strategy Board
PCA Planned Corrective Action
REM Remediation Plans
RICS Return Integrity and Correspondence Services
SB/SE Small Business and Self-Employed
SD Significant Deficiency
TE/GE Tax Exempt and Government Entities
TIGTA Treasury Inspector General for Tax Administration
UWR Unified Work Request
W&I Wage and Investment

More Internal Revenue Manual