Organization and Functions of the Office of Treasury Inspector General for Tax Administration

[Federal Register Volume 64, Number 16 (Tuesday, January 26, 1999)]
[Notices]
[Pages 4004-4008]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-1669]


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DEPARTMENT OF THE TREASURY

[Treasury Directive Number 27-14]


Organization and Functions of the Office of Treasury Inspector 
General for Tax Administration

January 15, 1999.
    1. Purpose. This directive describes the organization and functions 
of the Office of Treasury Inspector General for Tax Administration 
(OTIGTA).
    2. The Treasury Inspector General for Tax Administration. The 
Treasury Inspector General for Tax Administration (TIGTA) is appointed 
by the President, by and with the advice and consent of the Senate, and 
reports to the Secretary of the Treasury and the Deputy Secretary. The 
Office of the Treasury Inspector General for Tax Administration 
(OTIGTA) is organizationally placed within the Departmental Offices, 
but is independent of the Departmental Offices and all other offices 
and bureaus within the Department.
    a. Pursuant to the Inspector General Act of 1978, as amended, the 
TIGTA carries out a comprehensive audit and investigative program to 
assess the operations and programs of the Internal Revenue Service 
(IRS), the IRS Oversight Board, and the Office of Chief

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Counsel of the IRS. (Hereafter, the IRS Oversight Board and the Office 
of the Chief Counsel of the IRS are referred to as the ``Related 
Entities'').
    b. The TIGTA carries out the duties and responsibilities described 
in Treasury Order 115-01 ``Office of the Inspector General for Tax 
Administration'' or successor documents.
    c. The TIGTA provides executive leadership to the OTIGTA and 
exercises supervision over the personnel and functions of its major 
components. The TIGTA determines the budget needs of the OTIGTA, sets 
organizational policies and priorities, oversees organizational 
operations and provides reports to the Secretary and members of 
Congress.
    d. The TIGTA is a member of the President's Council on Integrity 
and Efficiency (PCI&E).
    e. Under the supervision of the TIGTA are a Deputy Inspector 
General for Tax Administration; a Counsel to the Treasury Inspector 
General for Tax Administration; an Assistant Inspector General for 
Audit; an Assistant Inspector General for Investigations; four Regional 
Inspectors General for Tax Administration; the Director, Office of 
Resources, Management and Support; the Director, Office of Systems 
Development and Integration; the Director, Central Case Development 
Center; the National Director for Communication, Education and Quality; 
and such support staff as the TIGTA deems necessary. (See Attachment I 
for chart of OTIGTA organization.)
    3. The Deputy Inspector General for Tax Administration. The Deputy 
Inspector General for Tax Administration serves as the TIGTA's 
principal assistant and is designated as the first assistant to the 
TIGTA for the purposes of 5 U.S.C. 3345.
    a. The Deputy Inspector General for Tax Administration directs and 
oversees the national proactive and coordinated activities of auditors 
and investigators to detect and deter fraud and abuse involving the IRS 
or the Related Entities;
    b. The Deputy Inspector General for Tax Administration manages the 
strategic management process of the OTIGTA, which consists of 
formulating the TIGTA's Strategic Plan and Annual Business Plan; 
evaluating the programs and operations of the Assistant Inspectors 
General and Regional Inspectors General; and preparing the semiannual 
report for the Secretary and Congress.
    c. The Deputy Inspector General for Tax Administration coordinates 
legislative activities for the OTIGTA.
    d. The Deputy Inspector General for Tax Administration supervises 
the following officials:
    (1) The Director, Office of Management, Resources and Support, who 
advises and assists the TIGTA on administrative, financial, personnel, 
and management matters; develops, directs and oversees OTIGTA 
administrative policy, planning and resource activities nationally; and 
furnishes administrative services for OTIGTA headquarters operations.
    (2) The Director, Office of Systems Development and Integration, 
who is responsible for developing the OTIGTA's information system 
architecture and budget requirements; establishing information 
technology policies and procedures; acquiring, developing, and 
maintaining computer hardware, data telecommunications, and software 
applications; and providing information technology services in support 
of audits, investigations and administrative activities at OTIGTA 
locations nationwide.
    (3) The Director, Central Case Development Center, who is 
responsible for detecting unauthorized access to taxpayer records by 
employees of the IRS and Related Entities, and detecting fraud and 
abuse by employees through analysis of audit trails and other records 
maintained on IRS computer systems.
    (4) The National Director of Communications, Education, and 
Quality, who originates, plans, implements and directs the OTIGTA's 
system management program, leadership and management education 
programs, and internal and external communications programs.
    4. The Counsel to the Treasury Inspector General for Tax 
Administration. The Counsel to the Treasury Inspector General for Tax 
Administration performs the following functions.
    a. Provides legal advice to the various components of the OTIGTA on 
issues that arise in the exercise of their audit and investigative 
responsibilities. Such issues include the scope and exercise of the 
TIGTA's authorities and responsibilities; audit and investigative 
techniques and procedures; the impact of proposed and existing 
legislation and regulations on IRS and OTIGTA programs and operations; 
and legal issues that arise in the conduct and resolution of audits and 
investigations.
    b. Provides legal advice on OTIGTA internal administration and 
operations, including appropriations, ethics, personnel matters, and 
the disclosure of tax and other information.
    c. Conducts and supervises the litigation on personnel and Equal 
Employment Opportunity matters involving OTIGTA employees and, as 
applicable, coordinates with the Department of Justice and others on 
these matters.
    d. Reviews and coordinates with the Department of Justice the 
enforcement of subpoenas issued by the OTIGTA, and representation of 
OTIGTA in litigation.
    5. The Assistant Inspector General for Audit. The Assistant 
Inspector General for Audit (AIGA) performs the following functions.
    a. Plans and oversees an audit program that provides for 
independent reviews and appraisals of the operations of the IRS and 
Related Entities. These reviews provide information on the condition of 
all functional activities of the IRS and Related Entities, and are 
sufficient in scope to provide a basis for constructive management 
action by responsible officials.
    b. Provides overall leadership and direction for evaluating the 
vulnerability of IRS and Related Entities operating activities to 
problems, and recommends action to pursue in planning audit coverage 
that provides for:
    (1) Systematic verifications and analyses of financial 
transactions;
    (2) Assessments of the design and development of new and existing 
information systems;
    (3) Appraisals of the effectiveness and efficiency of IRS and 
Related Entities programs and operations; and
    (4) Execution of the responsibilities mandated under the Chief 
Financial Officers Act relating to audits of IRS financial statements.
    c. Plans and executes continuous quality assurance of audit 
activities by conducting visitations to independently assess the 
execution of regional and headquarters audit operations and their 
adherence to the GAO's Government Auditing Standards; identifying 
operational concerns in audit activities and preparing reports that 
recommend appropriate management actions; monitoring and evaluating 
regional audit activities using qualitative and quantitative methods of 
analysis; and recommending new procedures and techniques for improving 
the overall quality of audit operations.
    d. Formulates and maintains audit policies, procedures, and program 
guidelines; develops and maintains the audit management information 
system; and produces management information reports for use by OTIGTA 
managers.
    e. Develops and maintains the professional skills of audit 
personnel by

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providing professional training course development, design and 
instruction. The AIGA determines, in conjunction with the National 
Director for Communications, Education and Quality, training priorities 
and goals of the audit training programs, identifies training needs, 
and defines and articulates training objectives.
    f. Supervises the Deputy Assistant Inspector General for Audit; the 
Directors of the Office of Strategic Planning; the Director, Office of 
Policy and Management; and the Director, Office of Audit Projects.
    6. Assistant Inspector General for Investigations. The Assistant 
Inspector General for Investigations (AIGI) performs the following 
functions.
    a. Plans and oversees a program to investigate activities related 
to fraud, waste, abuse, and mismanagement concerning the activities and 
operations of IRS and Related Entities. This includes investigating 
allegations against employees, applicants, grantees, and contractors 
(including those performing tax administration functions for the IRS) 
of criminal acts and other misconduct such as bribery; embezzlement; 
abuse of authority; unauthorized disclosure or use of tax information; 
false claims; conflict of interest; violations of the Federal ethics 
standards; and abuse of taxpayer rights.
    b. Protects the IRS and Related Entities against external attempts 
to corrupt or threaten their employees such as attempts by non-IRS 
employees and tax practitioners to unlawfully interfere with the 
programs and operations of the IRS through bribery, impersonation, 
intimidation, harassment, threats, assaults or other unlawful actions 
that may impact IRS personnel and impede Federal tax administration.
    c. Formulates investigative policies and procedures; performs 
quality assurance and oversight reviews to assure that the 
investigative program is in compliance with guidelines and 
investigative standards; prepares reports on investigative trends; and 
processes requests for release of information in compliance with the 
Freedom of Information Act, the Privacy Act and Internal Revenue Code 
disclosure provisions.
    d. Provides support nationwide in the forensic examination of 
documentary evidence; furnishes expertise in the use of technical and 
electronic investigative equipment; assists in the enhancement of video 
and audio evidentiary material; provides expertise and assistance 
during the search and seizure of computers and computer data; performs 
tests of the security of IRS and Related Entities information systems; 
and, in conjunction with the National Director for Communications, 
Education and Quality, assesses investigative training needs and sets 
training objectives.
    e. Operates a nationwide complaint center, including a hotline, to 
receive and process allegations of fraud, waste or abuse; supervises 
investigations of allegations against the IRS Executive Resources 
Board, members of the IRS Oversight Board, and officials who are 
appointed by the TIGTA; administers the Potentially Dangerous Taxpayer 
System; and gathers information regarding individuals or groups who 
advocate violence against the IRS.
    f. Supervises the Deputy Assistant Inspector General for 
Investigations; the Director, Office of Investigations; the Director, 
Office of Policy and Oversight; the Director, Office of Training and 
Investigative Support; and an Executive Assistant.
    7. The Regional Inspectors General for Tax Administration. The 
Regional Inspectors General for Tax Administration perform the 
following functions:
    a. Provide executive level direction over regional audit and 
investigative staffs;
    b. Supervise the regional information technology and administrative 
staffs; and
    c. Direct local proactive activities of auditors and investigators 
to detect and deter fraud and abuse involving IRS personnel and 
activities.
    d. There are four Regional Inspectors General for Tax 
Administration. The regional offices are located in the metropolitan 
areas of New York, NY; Atlanta, GA; Dallas, TX; and San Francisco, CA. 
These regional offices have the same geographical boundaries as the 
four IRS regions; OTIGTA personnel who are assigned to a Regional 
Inspectors General for Tax Administration are located at various 
locations within the region. (See Attachment II for chart of the OTIGTA 
field structure.)
    (1) The Regional Inspector General for Audit is responsible for the 
execution of the audit program throughout the region. The audit 
program, which includes verification of financial transactions and 
analyses of IRS operating programs, policy and procedures, serves as 
the basis for informing appropriate officials of the manner in which 
operations are being carried out and responsibilities are being 
discharged, and recommending necessary changes in policies, practices 
and procedures.
    (2) The Regional Inspector General for Investigations is 
responsible for the execution of the investigative program throughout 
the region. This program investigates allegations of fraud, abuse or 
misconduct by employees of the IRS and the Related Entities, and 
actions by individuals who attempt to threaten or corrupt these 
employees or impede tax administration. The investigative results are 
given to the Department of Justice, IRS management, or other 
authorities for appropriate criminal and administrative action.
    8. Authority. Treasury Order 115-01, ``Office of the Inspector 
General for Tax Administration''.
    9. Expiration Date. This Directive will expire three years from the 
date of issuance unless superseded or canceled prior to that date.
    10. Office of Primary Interest. Office of Treasury Inspector 
General for Tax Administration.
Lawrence W. Rogers,
Acting Treasury Inspector General for Tax Administration.

Attachments:
    1. OTIGTA Organization Chart
    2. Map--OTIGTA National and Regional Office

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[FR Doc. 99-1669 Filed 1-25-99; 8:45 am]
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