Direct Marketing Association, The v. Huber

Filing 50

RESPONSE to 15 MOTION for Preliminary Injunction with Incorporated Memorandum of Law filed by Defendant Roxy Huber. (Attachments: # 1 Exhibit 1, # 2 Exhibit 2, # 3 Exhibit 3, # 4 Exhibit 4, # 5 Exhibit 5, # 6 Exhibit 6, # 7 Exhibit 7, Part 1, # 8 Exhibit 7, Part 2, # 9 Exhibit 7, Part 3, # 10 Exhibit 7, Part 4, # 11 Exhibit 7, Part 5, # 12 Exhibit 7, Part 6, # 13 Exhibit 7, Part 7, # 14 Exhibit 8, # 15 Exhibit 9, # 16 Exhibit 10, # 17 Exhibit 11, # 18 Exhibit 12, # 19 Exhibit 13, # 20 Exhibit 14, # 21 Exhibit 15, # 22 Exhibit 16, # 23 Exhibit 17)(Scoville, Stephanie)

Re’ated
I Related Treasury
.,
I:

Inives
Initiatives
-. " .... ,'·1
• _-.

' . . . I,
",

.

jt~~'

Update the Collection
inventory
management system
to improve
functionality and
navigation and
provide capability to
interface with other
modernized systems.

Automate lien
delivery, recording,
and release
processes with state
and local jurisdictions
to improve the
timeliness of lien
filings, lien releases,
and the payment of
fees.

"

Strategy
'Strategy
Component(s)t
Component{s)t
(Bard = Primary)
(Bold =Prim
arY)

"'A-

<!'.

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- FY 2008
MileStones
Milestones

FY 2009
FY-2009
Milestones

,

="'"'

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Beyond
FY2009*
FY 2009*
'0:;;

9/30/08
9/30108
Completion of coding and
integration testing

11/1/08
Begin piloting of the updated
system

1/1/09
111109
Begin nationwide deployment
of updated system

3, 4
3,4

6/30109
6/30/09
Nationwide deployment
completed

9/30/08
9/30108
Complete cost analysis, design
specifications, and establish
enterprise standards

8/31/09
Establish and fully test
prototype
9/30/09
9/30109
Full deployment

3,4

,

D080

64
Exh.7

,

~

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~,tl,~.

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Initiatives-'
Initiatives

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Component{s)t
~

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-

-

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-

-

Test the use of
statistical modeling
techniques within
TEGE to detect highrisk compliance
patterns in order to
use data to expand
and improve
examination case
selection.
Develop and
implement a set of
compliance decision
analytic tools that will
support analysis of
TEGE returns and
other data to detect
compliance trends
and improve case
and issue selection.

"

,

,

(So,d = PrImary)
l
IBold__Primary)

~,

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, ~l~ .• -

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FY 2009
FY 2008 .' f,:: >, ~ "~:~~'J:",,~)~' 'py 2009 ,;,,".
Milestones
~ Milestones , ,";
Mlrestones
Milestones ," . ";.' ,
,

"

•

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FY 2009
FY2009*

-r

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1/31/08
All test examinations completed

4
3,4

4/30/08
Final report completed

1/15/08
Complete logical and physical
design phase

3,4
,

5/31/08
Complete system development
7/31/08
Deploy system to all users

D081

65
Exh.7

·:."':foC-- ~~lr

.. ~

~.U~ri_:'

e
r- ~
-"~'), : Related Treasury
,
Strategy
#tfly
'"~,, InNatives :~ :
Initiatives
, Comporient(s)t
Component(s)t
.
'
-'l.-

....--

~

.Ip

I"

1..

"";

I'"

~,_._

Implement a new
TEGE electronic
examination system
(TREES) that will
consolidate agent
tools to increase the
accuracy and
efficiency of the
examination process.

Build and implement
MeF receipt of
electronic
transmissions for
additional tax forms.

Increase audit
coverage and better
target returns for
examination,
examination.

....~
0'

1-1"

"

..,1
,

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I]

•

(814 = Primary)
(Bold

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, '-

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FY2QO8

,

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Miones
Milestones
..

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u,

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Beyond
FY2009*
FY2OO9
.

-

Deployment began in May 2007

11/30/07

3

Complete roll-out of TREES to
all TEGE examination revenue
agents

1/08
IIQ

Deploy Form 1120F on the
MeF platform

I

9/09
WQ

Deploy first phase of Form
1040 on the MeF platform

3
1/08
Deploy Form 990N (ePostcard)
on the MeF platform

4

10/1/07
Begin selecting, classifying,
and auditing individual returns
based on updated selection
scores (DIF) derived from NRP
TY
TV 2001 results

(cont’d)
(cont'd)

10/1/08
Begin evaluating the
effectiveness of the updated
DIF scores

~

9/30/09
Increase number of Schedule C
audits by an additional 5% to
(cont'd)
(cont’d)

D082

66
Exh.7

~··w

" . ,'"

on

,," ,.

," Initiatives
Inltiatives

,~~J'}
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. ."
Related Treasuty , , '
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- ,:
Strategy
Component(s)t ::' ", Milestones
.'
Gomponent(s)

=~

:'.

-"I

(Bold = Primary)
(Bold__Primary)

.

. , ~ '. ,.,

. . _'" ' ..,-'

9/30/08
Increase number of Schedule C
number
C
audits by 7% to address the
the
individual business income tax
underreporting gap

(cont’d)
(cont'd)

9/30/08
Migrate correspondence exam
telephone customers to the
enterprise call routing platform,
which will expedite case
closures

-

..
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-'-"

.; -

'
-, . .....

FY 2009
Mlleston.es
Milestones

.~

Beyond
9
OO
." FY 2
2009*
~ -.

. . ' .'

address the individual business
income tax underreporting gap
income
underreporting gap
9/30/09
Utilize information obtained
from the Subchapter S
S
Corporation National Research
Project to enhance return
selection and examinations

9/30/09
Begin screening amended
returns through the Dependent
Database
9/30/09
Improve the number of
correspondence audits that are
closed by enhancing the case
selection methodology with
real-time information
1/31/09
Improve correspondence case
selection methodologies based
on real-time information

D083

67
Exh.7

"

I"

,t, "';;.'1;,'

Initiatives
Initiatives
-.o<l

",Ralatpd Treasury
Related Treasury

Strategy
"S1rategy

t
~"'~' Comrmnent(s)
Component(s)t

. "", "[1"7'_ "
. .:.It',,,,~,

.'~

Enhance the ability to
identify and address
tax schemes of
business and
individuals involving
offshore activity,
address illegitimate
use of tax havens to
shelter income, and
increase information
matching and
examination activity
for individuals living
abroad.

Enhance collection
programs and
increase the Federal
Payment Levy
Program using thirdparty data.

(Bald"= PrJ
inary)
(Bold"' Primary)

"=

,"

FY 2008
FY2008
Milestones

~

~,~{

r;'

FY2009
FY 2009
Milestones

'"
t-ti l -

Ir~

".f

4

9/30/08
Complete the examination of
cases in the pilot phase of the
Broker Compliance Initiative
IRC
Project. Make IRe section
6700 promoter investigation
referrals for those individuals
and large businesses identified
as facilitating abusive offshore
transactions as a result of this
project

9/30/09
Analyze results of cases in the
Broker Compliance Initiative
Pilot phase and update
selection criteria for future
cases. Make IRC section 6700
promoter investigation referrals
for those individuals and large
businesses identified as
facilitating abusive offshore
transactions

9/30/08
Develop compliance initiative
projects in the areas of private
banking and offshore merchant
accounts to address offshore
noncompliance

4

Beyond
FY 2009*
FY2009*

9/30/09
Implement pilot phase for any
approved compliance initiative
projects

8/31/08
Work with Centers for Medical
Services (CMS) to modify levy
processing and improve offsets
of Medicare reimbursements for
tax debts

3/31/09
Work with Financial
Management Service (FMS) to
determine feasibility of
including CMS Medicare
payments in the Treasury
Offset Program/FPLP

~

~

D084

68
Exh.7

.

.~,-....

lil

'I

Initiatives
i ni a es

rl ~

-~~:.,i~~_l'

"

;

:

Work with other
federal agencies
regarding the Federal
Payment Levy
Program (FPLP).

Improve compliance
by tax preparers
through
implementation of the
Servicewide
Enforcement
Preparers Strategy.

Related Treasury
Relafed
S1rategy
Strategy
Component(s)t
Component(s)t
(Bpld
(Bold

=Primary)
=

,

,f,l'

.. . .

i. __ •

I,

FY,2008
FY 2008
Milestones
.MlleStones
'·'''=Jtt!;

FY 2009
FY2009

Milestones
"

3,4,7
I
.
1,

7

.",,:

3/31/09
Increase dollars collected by
pursuing agreements with the
Department of Defense to add
additional Federal wage and
other payments

10/1/07
Convene servicewide preparer
strategy summit

4, 7

.("'r,....,

. Beyond
FY2009*
FY 20091
~~

6/30/08
Increase dollars collected by
expanding FPLP to:
.
• Defense Finance and
Accounting Service salary
payment files
.
• Department of Defense
Civilian Employees
.
• Department of Health and
Human Services
.
• Environmental Protection
Agency
. Department of Energy
•

~

10/1/08
Update, as necessary, servicewide preparer strategy based
on research study findings

3/30/08
Finalize and begin
implementation of serviceservice
wide preparer strategy

~

1/1/08
Initiate research study of
preparer compliance

D085

69
Exh.7

-;'''"-,

Related Treasur:Y;"~I"~
Relaled Treasury
Strategy
Stra~~
.':
Comporlent(s)t
Compon~ij~(s)t

ni ati
Inltfatives
,
Improve collection
selection criteria and
filters for balance due
and nonfiler cases,
including identifying
and addressing
potential high income
nonfilers.

Litigate cases, work
settlements, and
design large scale
resolution initiatives
for tax shelter
transactions to deter
noncompliance,
noncompliance.

(Bold__PrimarV)
(Bold := Primary) _

....

("",'PJ'

.'

FY,2009
FY 2009
Milestones

FY 2008
FY2008
Milestones

~. ,

12/31/08

Expand use of third-party
information and research to
enhance case selection

Refine Decision Analytics rules
to improve inventory delivery

‘

12/31/07
Finalize Servicewide Nonfiler
Strategy

12/31/08
Develop a new model to
enhance collection case
selection criteria

3/31/08
3131108
Complete examination of
Global Settlement Initiative
(GSI) participants

1, 4
1,4

Beyond
FY 2009
FY2009*

"

12/31/07

A
‘3’
3,4

.'

9/30/09
9/30109
Complete audits of GSI nonparticipants

9/30/08
9/30108
Litigate unresolved Son of Boss
cases, cases of GSI nonparticipants, and promoter
penalty cases that opted not to
take the resolution initiative

9/30/09
9/30109
Continue to litigate unresolved
Son of Boss cases, cases of
GSI non-participants, and
promoter penalty cases that
opted not to take the resolution
initiative

D086

70
Exh.7

.,

~

-.

-

"

"

•

...

;~~ ').' ---.~

;;:' ~
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• Related Treasury
Strategy
strategy
Initiatives ....
Component(s}t
Component(s)
~

i,·

'\
!

"

(Bold =Primary)
(B1d__Primary)

Initiate a project using
Combined Annual
Wage Reporting
(CAWR) data to
identify tax-exempt
organizations that
may not be properly
reporting and paying
employment taxes.

,

.

~~

!.

'

. -.

:

-

.,

'

L ... l

'

FY 2008
FY2008
Milestones

'-'.

r-.

".
. (" 0\

'--"
..

~

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U
"'r.o.l

"

.
'"

,-

..

.:/:: 0

~~

-

.
0..

:.-' I

.

,

l-

_1-.;

FY 2008
FY~OO9
Milestones

'

-

-

,

Beyond
FY 2009
FY2009*

"

:

,

11/30/07
Identify opportunities for other
employment tax related
projects

3,
3,4

2/28/08
21 28/08
Analyze results of FY 2007
CAWR examinations and
document lessons learned for
future CAWR projects
I
I

Increase criminal
enforcement on
abusive schemes,
corporate fraud,
employment tax,
egregious nonfilers,
and on Bank Secrecy
Act violations.
violations,

9/30/08
Achieve an average conviction
rate of 92% for the combined
component programs

4

9/30/08
Achieve an average publicity
rate of 80% for the combined
component programs

9/30/09
Achieve an average publicity
rate of 80% for the combined
component programs

I

9/30/09
Achieve an average conviction
rate of 92% for the combined
component programs

~

D087

71
71
Exh.7

'-t.\.~j ,:;.

"

Initiatives
i"

.

:.~••

i'/.:.'\..I.~~

.
Related Treasury
Related Treasury
Strategy
Corn ponent(s)t
Component(s)t I

(Bold

=Primary)

--

FY2009
FY 2009
Milestones

FY 2008
FY2008
Milestones
Milestones

lit'

~~

..

=

--

12/31/07
Realign LMSB International
Resources to Improve
Integration/Leverage
Integration/Leverage Expertise

i; ...

Beyond
Beyond
FY 2009
IcFY2009*
....
'

3/31/09
3131109
Increase International Examiner
hiring with emphasis upon highrisk geographic areas

12/31/07
Improve the
alignment and
allocation of servicewide resources to
identify, develop, and
resolve challenges
better in the global
taxation arena.

...

12/31/08

Utilize International Planning
and Operations Council to
identify opportunities to conduct
cross-divisional examinations

Enhance cross-divisional
coordination to ensure
coverage and development of
significant issues while
reducing burden

4

q
~

6/30/09
6130109
Promote identification and
assessment of emerging
international/U.S.
internationaI/U.S. Possessions
compliance issues through
development of a process for
referrals and a system for
timely evaluation of those
referrals

D088

72
Exh.7

Initiatives

.

Treasury~~~
Related Treasny r1.~
Sritegy , ' .
Strategy
Component(s)t
Component(s)t
(oId =Primary)
(B~ld

..-

~.,.

1'1

FY2008
FY 2008
Milestones

.1"

FY 2009
Milestones

"

3/31/08

9/30/09
9/30109

Expand information-sharing
through increased membership
in the Joint International Tax
Shelter Information Centre
(JITSIC), by adding Japan and
expanding JITSIC offices to
London
Improve tax
administration to deal
more effectively with
increased emphasis
on globalization by all
corporate and
individual taxpayers.

Introduce revised Form 5471
for international transactions
that have potential U.S. tax
issues

3/31/08

4

Beyond
_FY 2009
FY2009*

Introduce new M-3 for Form
1 120F
1120F to gather information on
foreign controlled corporations

9/30/09
Pilot issue identification and
workload selection using filings
11 20F
of the revised form 1120F with
Schedule M-3

~

Onaoing
Ongoing
Increase education and
guidance to U.S. taxpayers of
their withholding responsibilities
on Fixed Determinable Annual
Periodic (FDAP) payments to
non-U.S. persons and expand
similar activities with qualified
intermediaries

D089

73
Exh.7

:!

.,

- ,:;

..... );~:"":~

~-

;-

L.~ Related Treasury

I

Initiatlyes
lntiaüves
I
-

.

.\:i.
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....

~:

-~~ ,~ -~

<C,

"

"StratAny
uoq:f

t

\ Component(s)t
COmponent(s)
(Bold ~ Primary)

>;

FY2008
FY 200$
Milestones
Mllestbnes
..
9/30/08
Pilot the Shelter Data
Management system and the
automated international issue
selection process

Increase industry and
global issue focus by
aligning resources to
cases and issues with
the highest
risk,
compliance risk.

A
4

..

"'Ii:

9/30/08
Use Transactions of Interest
under proposed regulation
601 1
6011 (when finalized) to identify
emerging issues

:~

Beyond
FY 2009
FY2009*

FY2009
FY 2009
Milestones
Milestones
"

.;;

6/30/09
Fully implement the Shelter
Data Management System
(SDM) and pilot the larger
Selection and Workload
Classification system, of which
SDM is a part
9/30/09
Integrate international issue
identification into overall
workload selection process
9/30/09
Expand use of Transactions of
Interest approach

Levera e
Leverage the efforts
of examiners as well
as external
partnerships with
foreign tax
administrators to
identify and address
emerging issues of
significant
comliance risk
compliance risk.
‘‘

4, 7

12/31/07
Expand the use of the
Organization for Economic Cooperation and Development
(OECD) Abusive Transaction
Database to identify emerging
transactions!
abusive transactions/ issues

9/30/09
Complete Basic level
International Training of LMSB
Front-line and Senior Managers
to improve Issue Identification
and Familiarity

~

9/30/08
Hire additional International
Examiners in areas with high
risk international issues

D090

74
Exh.7

I~

-

.--.-.0:\_

-

I:~,;
I,""
•.

.• _.

. '.' •

Related Treasury " ' L ' ~~r.- ...;.
.:':." "
Treasury
FY
Strategy
' ~" ;,.~ _t 'FY 2008 r ' .
Component(s)t
Component(s}t r~' ~' .~: ,Milestones
Mliestones

-

n

.
'~

Initiatives
Initiatives
~-.

<~~.:.

___L

(8 Id = P ' (Bold Primary)
__0 _=_--,",-maryJ _

.

,;
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- . ",

'"

,

~'

12/31/07
Initiate Project on Foreign
Athletes & Entertainers (FAE)
to ensure appropriate reporting
and sourcing of income
Address offshore and
cross-border
compliance risks
through enforcement
and by issuing
published guidance.

,'

.

.

"

FY 2009
FY2009
Milestones
Mllestooes

. I~

i~:

f'''<

'~~'1

!

Beyond
OOS
2
i; FY2009*
... FY

.iJ

~ ~

'1

.;,0

i

~ . .o-, ~..
"

,

~"-. n

..

9/30/09
9/30109
Issue additional regulations on
transfer pricing guidance,
foreign tax credit, and foreign
trusts, and new regulations on
cross border restructuring

12/31/07

4

Complete Voluntary Settlement
embassy/consular
Initiative for embassylconsular
employees and begin
enforcement activities on nonelectors

~

9/30/08
9/30108
Issue regulations on transfer
pricing, foreign tax credit, and
foreign trusts

D091

75
Exh.7

-

" / :r .
"tJ

. Initlativf!s
Wes
1

~

..

-

~

.....
:

.:..

i

.--.;

Enable taxpayers with
disabilities to
understand available
tax credits and
receive tax
preparation
assistance through
partnerships with
national and local
organizations that
serve this unique
group of taxpayers.

Component(s)t
Component(s) t

}
1

. .

Related Tl'88sury
Strategy
Strate’

,

,

(Bold = Pr.mary)
l
(Bold__Primary)

'':'"

,.,

;'.'-.r,
j

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1

FY 2008
Milestones

~

.~-~~

L

-~~

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r. '

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-

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1;,

':.

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.

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,

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.

.

."

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~

FY 2009
FY 2009
Milestones
~

, ,

-

'I

-'

.

~

;,-,1

BeyondBeyond
.: ,FY2009*
FY 2G09
.

12/30/08
12/30108

5
5, 7

12/31/09

Partner at the local and national
expand
levels to expa nd efforts with
organizations that serve people
with disabilities, to increase
return preparation assistance
space

Partner at the local and national
levels to expand efforts with
organizations that serve people
with disabilities and to increase
return preparation

3/31/09
3/31109
Work with select government
entities to increase the
availability of free tax
assistance programs

D092

76
Exh.7

~
Related
' Related Treasury . ~I: ~t~ . FY"2008
.,
FY 2008.
Strategy
Strategy
.] Ii.~: ,
"
Component(s)t
Milestones
Milestbnes
Component(s)t
,. ,

:~;,~~~ " • <:: ,:,.';. .,;., ,:~;:'

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(Bold

= Primary)
=Piimary)

~

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('r'''''
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- '/
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1/31/08
Continue to develop Accessory
Manager Tools that provide
standard research paths,
consolidate account data, and
data,
automatically populate input
fields

9/30/08
Implement recommendations
recommendations
from the Correspondence
Correspondence
Accuracy Improvement Study
Improvement Study

I

......

~

Jl'

1/31/08
1/31/08
Implement
Implement an Interactive Tax
Law Assistant (ITLA) tool to
assist employees in providing
accurate, efficient, and
complete responses to basic
tax law telephone inquiries

Increase
Increase accuracy on
toll-free
toll-free telephone
customer inquiries,
customer
processing
processing functions,
and paper
and
adjustments.
adjustments,

'1',';"

...

,'

.

ob'
\'

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. FY2009
FY 2009

Milestones
Milestones

-

I"_~

~
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.

,
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"

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-

·11....

Beyond_
Beyond

'

FY2009~
FY 2009

-..:

1/31/09
Continue to develop and
Continue
enhance the Interactive Tax
Tax
Law Assistant (ITLA) tool to
to
assist employees in providing
accurate, efficient, and
and
complete responses to a wider
wider
variety of more complex tax law
law
telephone inquiries
1/31/09
Review nationwide error trends
trends
to determine the areas where
where
implementation of an
implementation
Accessory Manager Tool would
Tool would
have the most significant
impact, and develop tools
tools
based on this analysis

-V

1/31/09
1/31/09
utilize
Continue to utilize program
annual
review teams to conduct annual
quality
to seek
quality reviews to seek
improvement opportunities and
improvement opportunities and
identify best practices
identify best practices
---_ .._--

D093

77
77
Exh.7

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Rela~ Treasury

-

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Strategy
Strategy

.

Improve the quality of
Improve the quality of
volunteer-prepared
volunteer-prepared
returns through
returns through
enhancements to the
enhancements to the
Volunteer Income Tax
Volunteer Income Tax
Assistance (VITA)
Assistance (VITA)
Program, including
Program, including
quality training and
quality training and
sample processing
sample processing
reviews.
reviews.

Component(s)t
, ,,' Component(s)t ~
(Bold = Primary)
(Bold =\Prlmary)

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FY2008
Milestones
Milestones

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FY2009
FY 2009
MiJestanes
Milestones

,

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12/31/09
12/31/09

Conduct on-site workshops to
Conduct on-site workshops to
address quality concerns
address quality concerns
identified while making visits
identified while making visits
during
during filing season

Replace current knowledgeReplace current knowledgebased tax law preparation
based tax law preparation
training with a process-based
training with a process-based
training approach
training approach

1/31/08
1131/08
Enhance services to
Enhance services to
persons with limited
persons with limited
English proficiency
English proficiency
(LEP) through: the
(LEP) through: the
Taxpayer Assistance
Taxpayer Assistance
Blueprint (TAB);
Blueprint (TAB);
development of a
development of a
Multi-Lingual
Multi-Lingual
Strategic Plan;
Strategic Plan;
development of a
development of a
Virtual Translation
Virtual Translation
Office; and launch of
Office; and launch of
a revised version of
a revised version of
the Spanish irs.gov
the Spanish irs.gov
webpage.
web page.

3/31/08
3/31/08

5

Ongoing
Ongoing
Maintain the application and
Maintain the application and
upgrade annually as needed
upgrade annually as needed

The Internet application
“Where’s My Refund” allows
"Where's
Refund"
taxpayers to access their
their
refund information. This
information. This
application will be offered on
application
offered on
the Spanish IRS.gov
the Spanish IRS.gov

5
5

Beyond
Beyond
FY2009*
FY 20O9

~

Ongoing
Ongoing
Continue expansion efforts
Continue expansion efforts

9/30/08
9/30108
The Multi-Lingual Project Office
The Multi-Lingual Project Office
will work with Research to
will work with Research to
pinpoint isolated community
pinpoint isolated community
locations and identify actions to
locations and identify actions to
customize assistance
customize assistance
(cont’d)
(cont'd)

D094

78
78
Exh.7

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FY 2009
Milestones
. , Milestones

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Beyond
' FY 2009*
FY 2009
..

9/30/08
9/30/08
Launch targeted outreach
Launch targeted outreach
messages
LEP
messages for LEP taxpayers in
in
isolated communities

(conVd)
(cont'd)

9/30/08
Expand the Virtual Translation
Translation
(\ITO)
Office (VTO) to increase and
and
enhance
enhance VTO translations. The
The
VTO will:
.
• translate glossaries of tax
of
terms into multiple languages
languages
.
• produce the tax forms and
publications currently
currently
published in Spanish
Spanish
. create additional forms and
•
forms and
educational materials in
educational
in
Spanish
Spanish
. produce new educational
• produce new educational
materials in other languages
materials in other languages
. lay the foundation for
• lay the foundation
translating products into other
translating products into other
IRS-priority languages
IRS-priority languages

D095

79
79
Exh.7

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Initiatives
Inltletwes
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Component(s)t
(B,old = Primary)
)
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I

y

FY2008
2008

Milestones

,

II"~

12/31/08
Develop and deliver Site
Coordinator's Training
Coordinator’s

Improve quality and
timeliness of taxpayer
contacts by
maintaining an
enhanced integrated
quality assurance
process with internal
and external partners.

Enhance IRS.gov.

12/31/08

4,5
4, 5

Define volunteer training levels
and focus on consistent use of
intake and interview sheets and
volunteers performing quality
reviews

I:

~

FY2009
FY 2009
Milestones

Beyand
Beyond
FY 2OO9
FY2009*

",

6/30/09
Engage partners and
employees in feedback
solicitation through roundtable
discussions and via partner
satisfaction surveys

6130108
6/30/08
Engage partners and
employees in feedback
solicitation through roundtable
discussions and partner
satisfaction surveys

5

9/30/08
Deploy an interactive tax law
decision support tool as
recommended
recommended in the Taxpayer
Assistance Blueprint report and
deliver improved Frequently
Asked Questions (FAQs)
support

9/30/09
Deploy enhancements to the
enhancements
interactive tax law decision
support tool to deliver Probe
and Response Capability

~

D096

80
Exh.7

•

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Related Treasury
FY 2008
FY2008
St5ty
Strategy
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MUestones

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. . Initiatives

~

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Improve services
Improve services
through programs at
through programs at
both the national and
both the national
local level by
local level by
expanding
expanding
collaborations with
collaborations
organizations serving
organizations serving
the disabled, Native
the disabled, Native
American
American
communities, and
communities, and
pre-existing rural
pre-existing rural
infrastructures.
infrastructures.

Expand and enhance
Expand and enhance
the Spanish Website
the Spanish Website
to increase electronic
to increase
options, including
options, including
options for Spanish
options for Spanish
language delivery of
language delivery of
applications currently
applications currently
only available in
only available in
English
English.
.

5

r

I

9/30/08
9/30108
Increase availability of EITC
Increase availability of EITC
education and
education and financial
education in hard to serve
Native American communities
through network of partnerships
involving Native community
financial institutions, community
development corporations,
financial education providers,
and Native American advocates

1/31/08
1131108
Launch Spanish version of the
internet application “Where’s
"Where's
My Refund,” which allows
Refund,"
taxpayers to access their
access
refund information
information

3,
3,5

~~,

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(Bold__Prirnay)
(Bold =Primary)

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. FY 2009
FY 2009

-

Milestones
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-----

.

3/31/09
3/31/09
Work with U.S. Department of
Work
U.S. Department of
Agriculture to increase the
Agriculture
availability of free tax
assistance programs

12/31/09
Collaborate with Rural Funding
Foundations to expand tax
related services in rural areas

Ongoing
Maintain the application and
upgrade annually as needed

~

9/30/08
9/30108
Expand and enhance the
Expand and
the
Spanish website to educate
Spanish
to educate
Spanish speaking taxpayers
Spanish speaking taxpayers
about tax responsibilities for
about tax responsibilities for
determining various tax
determining various tax
eligibility
eligibility
...

Beyond
Beyond

FY2009*
FY 2009*

---

-

_

.. -

D097

81
81
Exh.7

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Related Treasury : .
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Corpponent(s)t

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FY 2009
Milestones
Milestones

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Beyond
FY 2009*
FY 20G9
.'
." .~

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Ongoing
Ongoing
Maintain the application and
Maintain the application and
upgrade annuqllyg~l)eed.efl ":';~ ¥~~;':, ' ,~~l.<'
upgrade annually
needed
" 'i "''''''· ' <

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10/1/07
iWiiQ7

3, 5
3,5

~

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Deployed access to Electronic
Deployed access to Electronic
Account Resolution (EAR) and
Account Resolution (EAR) and
Transcript Delivery System
Transcript Delivery System
(TDS) for Reporting Agents in
(TDS) for Reporting Agents in
June 2007
June 2007

Provide Reporting
Provide Reporting
Agents with access to
Agents with access to
e-Services.
e-Services.

_.

.'

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•

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~.01''':

l

-

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Market availability
Market availability of new
services to
Reporting
services to all Reporting Agents

I

6/30/08

I

I Monitor access and modify as
necessary

I

9/30/08
Work with Reporting Agents to
explore opportunities for
electronic delivery of bulk
notices
notices

I

I

D098

82

U’

Exh.7

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Initiatives
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Implement Taxpayer
Assistance Blueprint
Phase 2, which
includes a five-year
a
Strategic Plan for
taxpayer service,
based on extensive
research to
understand taxpayer
and stakeholder
needs.

Implement InternetImplement InternetCustomer Account
Customer Account
Services (I-CAS)
Services (1-CAS)
Release 1, which will
enable taxpayers to
view account
information.
information,

Related Treasuty
Related Treasury

. .'", _ .
FY 2008
Strategy
'~Y t "'",! ~:' l-FY 2008
Milestones
Component(s) ;.; .
Component(s)
(B0;::: PtImary)
Id
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Identify attributes of intentional
versus unintentional taxpayer
noncompliance

5

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FY '2009
fY 2009

Milestones

"',\, ,.
_

Beyand
Beyond'
2009*
FY 2009*

•
9/30/09
Pending success of model
development, determine
causes for taxpayer errors and
begin to develop appropriate
treatments

">/

9/30/08
1-CAS Release 1
Implement I-CAS Release 1 to
enable taxpayers filing Form
1040 to view account
1040 to view account

3 5
'

information via a secure
information via a secure
Internet
1-CAS
Internet link. I-CAS will offer
online tax account services that
will emulate an online banking
experience

D099

83
83

Exh.7

. '"

.'~.

Initiatives
-

1-CAS
Implement I-CAS
Release 2, which will
enable taxpayers to
change their address,
file an extension,
submit a Power of
Attorney, and
calculate a payoff
amount on balances
due via a secure
Internet link.

Continue publicity
ublicit
efforts encuragir
encouraging
use of Online
Payment Agreement.

'a.

Related Treasury
Retated Treasury
Strategy
Component(s)t
c.omponent(s}t

(Bold

=Primary)
=

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FY 2008
FY2008

MUesto'nes,
Milestones

I

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Beyond

FY 2009
FY 2009
Milestones
Milestones

1 -....-

(it . •

FY2009*
FY 2009
,

9/30/09
Implement I-CAS Release 2 to
1-CAS
enable taxpayers to change
their address, file an extension,
submit a Power of Attorney,
and calculate a payoff amount
on balances due via a secure
Internet Link

3, 5
3,5

Ongoing During Filing Season
Ongoing During Filing Season
Issue News Releases and other Issue News Releases and other
communications encouraging
communications encouraging
use of on-line application for tax use of on-line application for tax
year 2007 balance due returns
year 2008 balance due returns

5

Ongoing
Promote ease of using Online
Payment Agreement via
multifaceted stakeholder
distribution networks

Ongoing
Promote ease of using Online
Payment Agreement via
multifaceted stakeholder
distribution networks
networks

D100

84
Exh.7

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1,6
1, 6

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2/09
1Q

Treasury and IRS and will
recommend additional
legislative initiatives to
Congress

1/31/08
1~1m8

6

1/31/09
1~1m9

Release new Forms 1120S and
11 20S
2553

Continue Taxpayer
Burden Reduction
projects.

FY2009*
FY 2OO9

Milestones
Milestønes

...

Ongoing
Oncloinc1
Treasury and IRS and will work
with Congress to enact
legislative proposals.

I.: BeYond
Beyon~

FY2009
FY 2009

.

~~

MilestOnes
M1Iestorie

(Bold 0 ; Primary)

Work with Congress
to enact simplification
legislative provisions
in Administration’s FY
Administration's
2008 Budget.

• I'

Related treasury
Reiated Treasury
Strategy
$tty
Component(s)t

Release new amended Forms
94X

2/29/08
Complete regulations for new
amended Forms 94X, (new
forms under development to
reduce employment tax
reporting errors)

~

3/31/08
Verify customer acceptance of
new Form 8857, Innocent
Spouse Relief

D101

85
Exh.7

, .~

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Strategy
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Beyond
Beyond
'FY2009*
FY 2009

-1

-

9/30/08
9/30108
Develop a multi-year prioritized
plan of burden reduction
activities to include forms
redesign and simplification

Continue Tax Form
and Publication
improvements.

6

9/30/08
9/30108
Define the Modernized e-file
(MeF) platform for the XML
enabled PDF Form 1040, U.S.
Individual Income Tax Return,
for Tax Year 2009

~

9/30/08
Launch a hyperlinked
Publication 17, Your Federal
Income Tax, on the irs.gov
website. Hyperlinks will be
incorporated, enabling
taxpayers to link to relevant
sections within Publication 17
to assist in tax preparation
research

D102

86
Exh.7

r.

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Pr’
Strategy
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Strategy
FY 2008
••
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ani es /. Component(s)t '" .... Milestones r;." .~~..~ r ' ••t., -\~,' Milestones '
.,; .:
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Further enhance the
Further enhance the
centralized process to
centralized
maximize utilization
maximize utilization
of State Audit Reports
of State Audit
(SAR5)
(SARs) by IRS for
federal
federal assessments.

Implement a
Questionable
Questionable
Employment Tax
Practices
Practices (QETP)
Initiative in
partnership
partnership with the
U.S. Department
U.S. Department of
Labor, the National
Labor, the National
Association of State
Association of State
Workforce Agencies,
Workforce Agencies,
the Federation of Tax
the Federation
Administrators, and
Administrators, and
state workforce
state
agencies to provide a
agencies to provide a
collaborative national
collaborative national
approach to combat
approach to combat
employment tax
employment tax
schemes.
schemes.

=

(Bold__Primary)
,(BQld Primary)

'.

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Beyond
". Beyond
. FY 2009*
FY 2009

~ ..

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5/31/08
Establish a system to baseline
usability and productivity of
incoming SARs

6/30109
6/30/09
Partner with states to
Partner
implement enhancements to
improve the usability of SARs

12/31/07
Launch QETP initiative by
securing a minimum of 20 state
participants

4 7
A

9130109
9/30/09
Continue to increase state
participation by an additional
25%

'

‘

4 7
A
'

I

Partner with
Partner with
states to
states
automate
receipt of
of
SARs
SARs

6/30/08
6/30108
Fully implement process to
deliver data provided by the
states for incorporation into
employment tax audit work
streams

9/30/08
9/30108
Increase number of states
Increase number
participating by 25%
participating by

' - - - - - - - - - - ' - - - - - - - - - - - ' - --

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D103

87
87
Exh.7

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Further enhance
Further enhance the
Fed/Fed program
FedlFed program by
facilitating and
facilitating and
expanding
expanding
partnerships
partnerships with
other federal
other federal
agencies to improve
agencies
tax administration.
tax administration.

Related Treasury
:. 'Related Treasury
Strategy
,
Camponent(s)t ~,
Component(s)t
(Bold
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FY 2009
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Beyond
FY2009*
FY 2009
"

6/30/08
6/30108
Develop
minimum
Develop and launch a minimum
of two new federal agency
partnerships (e.g., SSA and
SBA)

4, 7

- - - - - - - --- -- - - -----

D104

88
88
Exh.7