Charles E. Grassley: “I asked the Department of the Treasury what steps the IRS has taken to ensure that there is uniformity nationwide in the…”

“I asked the Department of the Treasury what steps the IRS has taken to ensure that there is uniformity nationwide in the treatment of taxpayers. I ask unanimous consent that the Department's response--a nonanswer--be printed in the Record as an example of bureaucrat-speak at its finest. Taxpayer Uniform Treatment Question 6: What management steps has the IRS taken to ensure that there is uniformity nationwide in the treatment of taxpayers for tax violations? Answer: The Service's primary selection for auditing returns begins with our Taxpayer Compliance Measurement Program (TCMP). This involves the random selection of taxpayers for comprehensive audits. The results of the audits are analyzed to develop discriminant functional (DIF) data which is used to score returns as they are filed. A return with a higher DIF score is more likely to have errors. The system also is used to determine levels of compliance for various classes of taxpayers and to develop yield curves. The yield curves are used to predict the amount of additional taxes that would be assessed at varying levels of coverage. Management considerations in allocating resources for the auditing of tax returns and the collection of amounts due is based on resource availability and workload. The IRS determines the number of returns by taxpayer class to audit.”