The IRS has implemented significant IT capabilities over the past year, but needs to continue its efforts to deliver new systems and protect sensitive financial and taxpayer data, the Treasury Inspector General for Tax Administration has said following an annual IT management review.
Over the past year the agency has implemented the daily processing and database implementation projects of the Customer Account Data Engine 2 and a new release of the Modernized e-File system.
However, improved controls are needed to ensure long-term success for both of these key systems within the agency’s modernization program, TIGTA said.
It said implementation of new systems that are needed to implement provisions of the new healthcare law also present new management challenges.
TIGTA said that while the IRS has improved information security and personnel safety, it must continue to place emphasis on information and physical security programs in order to ensure that policies, procedures, and practices adequately address security control weaknesses.
For example it found issues with system access controls, configuration management, audit trails, physical security, remediation of security weaknesses, and oversight and coordination on security related issues.
