In August 2022, Congress enacted the Inflation Reduction Act (IRA), giving the Internal Revenue Service (IRS) a historic opportunity to transform the administration of the tax system and the services provided to taxpayers. The IRA will provide approximately $80 billion over the next decade to significantly improve how they serve the public.
Shortly after Congress enacted the IRA, the Department of the Treasury and the IRS initiated an effort to develop a Strategic Operating Plan, identifying the highest-priority opportunities to deliver transformational change for taxpayers. The process leveraged prior IRS planning, including the Taxpayer First Act Report to Congress, new thinking around best practices and available technology capabilities, and input from a wide range of stakeholders in tax administration.