Expand IRS Online Account Functionality

TAS is reviewing how to incorporate this initiative into an existing or new Collaborative Team, a Systemic Advocacy Project, or a potential FY 2025 Annual Report to Congress Most Serious Problem. Progress during this period was affected by the lapse in appropriations and related operational impacts, including reduced staffing capacity, reassignment of work and priorities, and a reevaluation of TAS’s approach to managing systemic advocacy objectives and associated initiatives.

Since the beginning of FY26, the IRS has continued to communicate information regarding ongoing modernization initiatives and planned enhancements to taxpayer-facing digital services. In addition, the Department of the Treasury’s Strategic Plan for Fiscal Years 2026–2030 includes Objective 2.3, “Deliver a Modern Taxpayer Experience to Improve Service, Privacy and Collections,” which outlines Treasury’s commitment to modernizing tax administration and enhancing taxpayer services.

Although Treasury and the IRS have not publicly released a comprehensive, project-level IT modernization roadmap, they have provided substantial public information regarding modernization goals, priorities, anticipated benefits, implementation timeframes, and desired outcomes through strategic planning documents and other public communications. These communications provide stakeholders with meaningful insight into the IRS’s modernization strategy and planned improvements to taxpayer services, including enhanced digital capabilities and online account functionality. Accordingly, TAS considers this recommendation complete.

TAS will continue to advocate for increased transparency as the IRS finalizes more detailed plans for key modernization initiatives, including greater visibility into project scope, implementation milestones, anticipated benefits, and measures of success.

TAS is reviewing how to incorporate this initiative into an existing or new Collaborative Team, a Systemic Advocacy Project, or a potential FY 2025 Annual Report to Congress Most Serious Problem. Progress during this period was affected by the lapse in appropriations and related operational impacts, including reduced staffing capacity, reassignment of work and priorities, and a reevaluation of TAS’s approach to managing systemic advocacy objectives and associated initiatives.

In Q1 and Q2, the IRS focused on improving infrastructure to allow for more functionality.

The IRS has continued enhancing the Business Tax Account (BTA) platform as part of its broader digital modernization efforts. Recent updates expanded BTA access to additional entity types, including partnerships, tax-exempt organizations, and government entities, while also increasing online self-service capabilities such as payment management, transcript access, and digital notice retrieval. The IRS also strengthened Designated Official functionality and security requirements, including annual revalidation and enhanced identity verification controls. Additional improvements support digital lender transcript authorizations through Income Verification Express Service (IVES) and allow authorized users to manage multiple entities within a single account. These enhancements continue to reduce paper-based interactions and improve the overall taxpayer experience for businesses.

The IRS has continued enhancing Tax Pro Account (TPA) capabilities to improve digital services for tax professionals and authorized representatives. Recent updates expanded online authorization functionality, allowing practitioners to initiate, manage, and monitor powers of attorney and tax information authorizations more efficiently through fully digital workflows. The IRS also improved account access and security features, including enhanced identity verification requirements and expanded support for multi-client management. Additional enhancements increased access to taxpayer records and online account information, helping practitioners resolve issues more quickly without requiring paper submissions or phone assistance.

The IRS introduced online intake and election functionality supporting new Trump Accounts (IRC §530A accounts) for eligible children, allowing taxpayers to initiate account setup and related actions through IRS/Treasury digital channels. The IRS also expanded digital notice delivery and electronic authorization approval capabilities for powers of attorney and tax information authorizations.

TAS will continue to track expanded online account capabilities, monitor taxpayer experience and provide IRS feedback.

TAS is reviewing how to incorporate this initiative into an existing or new Collaborative Team, a Systemic Advocacy Project, or a potential FY 2025 Annual Report to Congress Most Serious Problem. Progress during this period was affected by the lapse in appropriations and related operational impacts, including reduced staffing capacity, reassignment of work and priorities, and a reevaluation of TAS’s approach to managing systemic advocacy objectives and associated initiatives.

The IRS was working towards implementing Login.gov as an alternative authentication method. In December 2025 these efforts were paused. TAS will continue to monitor and advocate for improvements in this area.

TAS is reviewing how to incorporate this initiative into an existing or new Collaborative Team, a Systemic Advocacy Project, or a potential FY 2025 Annual Report to Congress Most Serious Problem. Progress during this period was affected by the lapse in appropriations and related operational impacts, including reduced staffing capacity, reassignment of work and priorities, and a reevaluation of TAS’s approach to managing systemic advocacy objectives and associated initiatives.

In Q1 and Q2, the IRS focused on improving infrastructure to allow for more functionality.

The IRS has continued enhancing the Business Tax Account (BTA) platform as part of its broader digital modernization efforts. Recent updates expanded BTA access to additional entity types, including partnerships, tax-exempt organizations, and government entities, while also increasing online self-service capabilities such as payment management, transcript access, and digital notice retrieval. The IRS also strengthened Designated Official functionality and security requirements, including annual revalidation and enhanced identity verification controls. Additional improvements support digital lender transcript authorizations through Income Verification Express Service (IVES) and allow authorized users to manage multiple entities within a single account. These enhancements continue to reduce paper-based interactions and improve the overall taxpayer experience for businesses.

The IRS has continued enhancing Tax Pro Account (TPA) capabilities to improve digital services for tax professionals and authorized representatives. Recent updates expanded online authorization functionality, allowing practitioners to initiate, manage, and monitor powers of attorney and tax information authorizations more efficiently through fully digital workflows. The IRS also improved account access and security features, including enhanced identity verification requirements and expanded support for multi-client management. Additional enhancements increased access to taxpayer records and online account information, helping practitioners resolve issues more quickly without requiring paper submissions or phone assistance.

The IRS introduced online intake and election functionality supporting new Trump Accounts (IRC §530A accounts) for eligible children, allowing taxpayers to initiate account setup and related actions through IRS/Treasury digital channels. The IRS also expanded digital notice delivery and electronic authorization approval capabilities for powers of attorney and tax information authorizations.

TAS will continue to track expanded online account capabilities, monitor taxpayer experience and provide IRS feedback.