The IRS paid for IT hardware maintenance services it neither needed nor received, the Treasury Inspector General for Tax Administration has said in calling for increased oversight.
The agency spent $47.8 million on hardware maintenance contracts in fiscal 2012, which are not always effectively monitored by acquisition teams, TIGTA said. For example, it identified 10 pieces of hardware that were retired six months prior to the expiration of the maintenance contract, but the IRS continued to pay for the service rather than submit a contract modification.
The IRS agreed to communicate and emphasize expectations with IT organizations so that managers can take appropriate action to ensure that hardware maintenance contracts are administered and acquisition duties are performed in accordance with existing IRS policy.
