[Federal Register Volume 61, Number 110 (Thursday, June 6, 1996)]
[Notices]
[Pages 28928-28929]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: X96-10606]



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DEPARTMENT OF THE TREASURY
Internal Revenue Service


Privacy Act of 1974; Computer Matching Program

AGENCY: Internal Revenue Service, Treasury Department.

ACTION: Notice.

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SUMMARY: Pursuant to the Privacy Act of 1974, as amended, 5 U.S.C. 
552a, and the Office of Management and Budget (OMB) Guidelines on the 
Conduct of Matching Programs, notice is hereby given of the conduct of 
an Internal Revenue Service (IRS) program of computer matches.

EFFECTIVE DATE: This notice will be effective July 8, 1996, unless 
comments dictate otherwise.
ADDRESS: Comments or inquiries may be mailed to: Chief Inspector, 
Internal Revenue Service, 1111 Constitution Avenue, NW, Washington, DC 
20224.

FOR FURTHER INFORMATION CONTACT: Mary Jacqueline Greening, Internal 
Auditor, Quality Assurance and Oversight Section, Office of Planning 
and Management, Office of Assistant Chief Inspector (Internal Audit), 
Internal Revenue Service, (202) 622-5911.

SUPPLEMENTARY INFORMATION: IRS management is responsible for 
discouraging the perpetration of irregular or illegal acts and limiting 
any exposure if an integrity breach occurs. To accomplish its mission, 
the Inspection Service assists management in achieving this objective 
by enhancing its conventional audit and investigative activities with a 
program designed to deter and detect such acts and to search for 
indicators of fraud sufficient to warrant investigation.
    The Inspection Service's Integrity Program includes Integrity 
Projects, Integrity Tests, and national or other projects, including 
joint Internal Audit/Internal Security activities, designed to detect 
indicators of fraud and which focus specifically on the deterrence and 
detection of integrity breaches.
     Integrity Projects are reviews or probes of specific high risk 
areas or transactions by the Inspection Service to detect material 
fraud and to assess the extent of integrity breaches that may have 
occurred.
     One IRS organizational strategy is to ensure public confidence in 
the integrity of the IRS by a dedication to the highest ethical 
standards. One of the ways that the Inspection Service supports this 
objective is to provide IRS management an assessment of the 
organization's ethical environment through the Inspection Service 
Integrity Program.
     Computer matching is the most feasible method of performing 
comprehensive analysis of employee, taxpayer, and tax administration 
data because of the large number of employees (seasonally varying to 
over 110,000), the geographic dispersion (nationwide) of IRS offices 
and employees, and the tremendous volume of computerized data that is 
available for analysis.
     This program of computer matches may be conducted in part or in 
its entirety by any or all of the Inspection Service's offices.

 Name of Source Agency:

     Internal Revenue Service.

 Name of Recipient Agency:

     Internal Revenue Service

 Beginning and Completion Dates:

     This program of computer matches is targeted to commence in June, 
1996 unless comments dictate otherwise. The program of computer matches 
will conclude at the end of the eighteenth month after the beginning 
date (December, 1997).

 Purpose:

     The purpose of this program of computer matches is to detect and 
deter fraud, waste, and abuse in IRS programs and operations by 
identifying employees who are violating laws, rules, or regulations 
related to the performance of their duties.

 Authority:

     The Office of Chief Inspector was established and provided the 
authority to perform character and conduct investigations of IRS 
employees pursuant to 31 U.S.C. 321(b); sections 7801(a),7802, and 7803 
of the Internal Revenue Code of 1986; 26 U.S.C. 7804 and Reorganization 
Plan Number 1 of 1952.
     Commissioner's reorganization Order #Hdq-1 (July 29, 1952), IR-
Mimeograph Number 236 (December 7, 1953), and the current provisions of 
the Internal Revenue Manual (IRM) give authority to conduct personnel 
investigations to the Chief Inspector.
     Internal Revenue Manual 1161 charges the Chief Inspector with 
carrying out a program for assisting management to maintain the highest 
standards of honesty and integrity among its employees.
     The United States General Accounting Office field work standards 
for both performance and financial audits require auditors to design an 
audit to provide reasonable assurance of detecting abuse of illegal 
acts that could significantly affect the financial statements, audit 
objectives, or audit results.

 Categories of Individuals Covered:

     Current and former employees of the IRS.

 Categories of Records Covered:

     1. Personnel and payroll actions and determinations on current and 
former employees of the IRS. (General Personnel and Payroll records 
(Treasury/IRS 36.003).)
     2. Information on travel and moving expenses incurred by IRS 
employees in conjunction with official business. (Travel Expense 
Records (Treasury/IRS 32.001)).
     Information other than that specifically on IRS employees will be 
used to determine the actions or the effect of actions of employees or 
to corroborate declarations or statements by employees.
     3. Specific computer inquiries and entries to IRS information 
systems made by employees. (Integrated Data Retrieval System (IDRS) 
Security Files (Treasury/IRS 34.018).)
     4. Information on the individuals who owe and the amounts owed to 
Federal or state agencies. (Debtor Master File (Treasury/IRS 24.070).)
     5. Information regarding taxpayers, tax returns, and tax return 
information.

[[Page 28929]]

     a. Individual Returns Files, Adjustments and Miscellaneous 
Documents Files (Treasury/IRS 22.034).
     b. Wage and Information Returns Processing (IRP) File (Treasury/
IRS 22.061).
     c. Combined Account Number File (Treasury/IRS 24.013).
     d. Individual Account Number File (Treasury/IRS 24.029).
     e. Individual Master File (IMF) (Treasury/IRS 24.030).
     f. Business Master File (BMF) (Treasury/IRS 24.046).
     g. Taxpayer Delinquent Account (TDA) Files and subsystems 
(Treasury/IRS 26.019).
     h. Taxpayer Delinquency Investigation (TDI) Files (Treasury/IRS 
26.020).
     i. Examination Administrative File (Treasury/IRS 42.001).
     j. Audit Information Management System (AIMS) (Treasury/IRS 
42.008).
     k. Compliance Programs and Projects Files (Treasury/IRS 42.021).
     l. Case Management and Time Reporting System (Treasury/IRS 
46.002).
     m. Controlled Accounts (Open and Closed)(Treasury/IRS 46.004).

    Dated: May 26, 1996

Alex Rodriguez,
Deputy Assistant Secretary (Administration).

[FR Doc.14161 Filed 6-5-96: 8:45am]
Billing Code: 4830-01-F