January 6 2023

IRS Issues FY 2022 Progress Update

Source: IBFD Tax Research Platform News

On 4 January 2023, the US Internal Revenue Service (IRS) issued its fiscal year (FY) 2022 progress update, providing an overview into the agency's work over the past year and discussing the agency's goals for FY 2022 to FY 2026.

According to the progress update, during FY 2022, the IRS:

  • completed delivery of the third round of Economic Impact Payments, bringing the total distributed by the IRS in three rounds to more than USD 830 billion;
  • wrapped up disbursement of advance monthly payments of the Child Tax Credit;
  • emphasized that filing electronically with direct deposit was more important than ever in 2022;
  • continued efforts to enhance service for all taxpayers, including people in diverse and under-served communities by:
    • taking steps to further improve the amount of assistance the agency provides to taxpayers in multiple languages;
    • completing conversion of 34 Spanish notice inserts to Braille, text, audio and large print;
    • converting Form 1040 and its main schedules, 1040 NR, 1040 SR, W-4 and six IRS publications into Spanish Braille, text and large print;
  • worked to reduce paper correspondence inventory and process paper tax returns from 2021 and improve its response to an unprecedented level of phone demand;
  • continued to develop and utilize innovative approaches to understand, detect and resolve potential noncompliance to maintain taxpayer confidence in the tax system; and
  • created a new office to improve taxpayer experience and identify opportunities to make continuous improvements in real time for taxpayers and tax professionals.

The IRS also discussed its four goals for FY 2022 to 2026, as found in the strategic plan issued in July 2022.