Welcome back! Ask questions, get answers, and join our large community of tax professionals.
cancel
Showing results for 
Search instead for 
Did you mean: 

Think It's Bad Now? Wait Until There Are Only Two Service Centers

Highlighted
Level 11

The IRS is not achieving the savings it projected through consolidation of processing centers and already is unable to fill all positions at the centers whose workloads will grow as they receive work from those being closed, an IG audit has said.

The IRS is consolidating tax processing centers based on the continued decline in paper-filed returns, projecting five-year savings of $266 million from closing three centers, savings that management wants to use toward taxpayer service, enforcement and IT upgrades. A center in Cincinnati was closed last June; plans call for closing a center in Fresno, Calif., in 2021 and one in Austin, Texas in 2024.

The IG found that the costs of closing the Cincinnati center “exceeded initial estimates by $56.5 million, reducing the potential five-year savings estimates to approximately $40.7 million.

It added that the two centers to continue, in Kansas City and Ogden, Utah, have been failing to meet their filing season hiring goals in the last three years, achieving only 61, 64 and 50 percent combined.

After the full consolidation is complete, the hiring need for those centers will be about twice as high, the IG said, adding that “the inability to recruit and retain sufficient submission processing function personnel will continue to present significant challenges for the IRS.”

https://www.fedweek.com/federal-managers-daily-report/ig-raises-cost-staffing-concerns-in-irs-consol...

 

2 Replies 2
Highlighted
Level 15
Level 15

If they want to reduce paper returns they need to start allowing Efiled amended returns...with all these retroactive things happening, the paper load is going to grow and grow.


♪♫•*¨*•.¸¸♥Lisa♥¸¸.•*¨*•♫♪
Highlighted
Level 11
Level 11

@Just-Lisa-Now- wrote:

If they want to reduce paper returns they need to start allowing Efiled amended returns...with all these retroactive things happening, the paper load is going to grow and grow.


amen to that!

0 Cheers