	Key Recommendations for Tax Policy and Administration

In recommendations to Congress and the administration, we suggested actions that could be taken to improve compliance with the tax laws, increase accounts receivable collections, modernize the Internal Revenue Service (IRS), enhance the effectiveness of tax incentives, assist taxpayers, and improve financial management. 2, 1994). 20, 1994). We did our work on tax policy and administration matters pursuant to 31 U.S.C. Pursuant to a legislative requirement, we reviewed IRS’ financial management systems and internal controls over federal tax revenues. However, as of December 1994, IRS was taking actions related to these areas. We reviewed long-term travel assignments made at four IRS offices during fiscal year 1992.
Why GAO Did This Study

Pursuant to a legislative requirement, GAO summarized its work on tax policy and administration issues during fiscal year (FY) 1994, including: (1) actions federal agencies took in response to its recommendations as of December 31, 1994; (2) recommendations made to Congress before and during FY 1994 that remain open; and (3) assignments for which GAO received authorized access to tax information.

What GAO Found

GAO noted that its recommendations addressed specific actions that Congress and the administration could take to: (1) improve compliance with tax laws; (2) increase accounts receivable collections; (3) simplify the tax system; (4) modernize the Internal Revenue Service (IRS); (5) strengthen IRS management practices; and (6) enhance the effectiveness of tax incentives.