IRS Report Card: Grades Are Improving

Three years ago, the watchdog Federal Performance Project gave the Internal Revenue Service a passing - but not stellar - grade of a "C" average. On May 15, 2002, the Project announced that the IRS' grade has improved to a "B minus."

The Federal Performance Project, which provides an independent management assessment of federal agencies, is a collaboration between Government Executive magazine and George Washington University’s public administration department. It is funded by the Pew Charitable Trusts.

The highest rated area for the IRS was "managing for results," which received a grade of B. Credit for the grade goes to the IRS’s clearly stated mission, well-defined goals, bimonthly performance reviews and new performance measures.

Overall Ratings

  • Managing For Results - B

  • Human Resources - C

  • Information - C

  • Finances - C

Among the positive trends noted in the report that improve accountability are the restructuring process and pay for performance measures adopted by the IRS. Negatives include manual accounting, staffing mismatches, and inability to measure voluntary compliance.

Overall, the report noted that improvements are needed to overcome problems such as decreased employee satisfaction, problems with computer systems and lack of management flexibility remain a problem.

Details of the Report Card may be found on the Web site of the Federal Performance Project.

"The Federal Performance Project score is just the latest indication of the change underway at the agency. Public opinion surveys also indicate improvements in the way people view the IRS," said Charles O. Rossotti, IRS Commissioner. "We certainly are not satisfied with a B minus, but the trend is in the right direction."

You may like these other stories...

Camp Hopes Estate Tax Will Be on Its Way OutAn article in Bloomberg said that Republicans are considering voting this year to repeal the U.S. estate tax, according to House Ways and Means Chairman Dave Camp (R.-Mich.). He...
Senate Takes Different Approach from House for Highway and Bridge FundEarlier this week, according to a New York Times article, the Senate agreed to fill the coffers of the fund that pays for highway and bridge repairs with...
There it stands, your client's 100-year-old, rickety, vermin-infested barn or former hotel or whatever the darn thing once was. And she's considering what to do with it. There are two words that can help her decide...

Upcoming CPE Webinars

Aug 5
This webcast will focus on accounting and disclosure policies for various types of consolidations and business combinations.
Aug 20
In this session we'll review best practices for how to generate interest in your firm’s services.
Aug 21
Meet budgets and client expectations using project management skills geared toward the unique challenges faced by CPAs. Kristen Rampe will share how knowing the keys to structuring and executing a successful project can make the difference between success and repeated failures.
Aug 28
Excel spreadsheets are often akin to the American Wild West, where users can input anything they want into any worksheet cell. Excel's Data Validation feature allows you to restrict user inputs to selected choices, but there are many nuances to the feature that often trip users up.