TAX NEWS - DECEMber 2009

US Tax: Inspector General's Message to Congress

I am pleased to submit this Semiannual Report to Congress, highlighting the Treasury Inspector General for Tax Administration's (TIGTA) many accomplishments in promoting its mission to provide oversight of the Internal Revenue Service (IRS) and protect the integrity of Federal tax administration. TIGTA's achievements for the six-month period ending September 30, 2009 (the Reporting Period), are showcased through the many noteworthy audits, investigations, and inspections and evaluations summarized in this report.

Now more than ever, it is critical to our Nation's future for the IRS to diligently perform its duty of collecting Federal tax revenues while administering the many economic recovery programs with which the IRS is charged. We at TIGTA are committed to ensuring that the IRS carries out its responsibilities to America's taxpayers as effectively and efficiently as possible and with the highest level of quality and service.

TIGTA's combined audit and investigative efforts have recovered, protected and identified monetary benefits totaling more than $3.8 billion for the Reporting Period and more than $14 billion for all of fiscal year 2009. These results are not unusual for TIGTA, as time and again our work has resulted in a significant return on investment for American taxpayers. For the Reporting Period, TIGTA's Office of Audit completed 86 reports (142 for all of fiscal year 2009) and our Office of Investigations closed 1,992 investigations (3,527 for all of fiscal year 2009).

Congress's passage of the American Recovery and Reinvestment Act of 2009 (Recovery Act) resulted in the immediate need for increased oversight throughout all levels of government. The Recovery Act established the Recovery Act Accountability and Transparency Board, consisting of ten Inspectors General from across the Federal Government. TIGTA is one of the entities with statutory membership on this board. In this role, we will promote integrity and efficiency for all agencies that received Recovery Act funding, with particular attention to the IRS's administration of the many tax credits and other economic stimulus provisions contained in the Act.

TIGTA stands ready to continue carrying out our important mission of serving the American people by working to ensure the integrity of Federal tax administration.

Sincerely,
J. Russell George
Inspector General