WASHINGTON, D.C. — An Internal Revenue Service advisory committee issued 18 recommendations aimed at modernizing tax administration, improving taxpayer services, and strengthening fraud prevention, including calls for Congress to simplify tax policy and provide more predictable agency funding.
The Electronic Tax Administration Advisory Committee (ETAAC) released its 2026 annual report Wednesday during a public meeting in Washington, outlining recommendations directed to both the IRS and Congress as the agency continues efforts to modernize tax administration and expand digital services.
Six of the recommendations were directed to lawmakers.
Among its recommendations to Congress, the committee urged consideration of tax simplification when crafting new tax legislation, authorization for the IRS to regulate non-credentialed tax return preparers, predictable long-term funding for agency operations, and continued investment in technology modernization initiatives.
The committee’s recommendations to the IRS focused on six areas: technology and data sharing, sustained agency funding, artificial intelligence and human-centered design, digital filing and payment systems, taxpayer outreach and simplification efforts, and fraud prevention measures.
“ETAAC members have devoted significant time and expertise in identifying and analyzing electronic tax administration issues,” IRS Chief Executive Officer Frank Bisignano stated. He added that the agency would review the committee’s recommendations.
The advisory panel operates under the Federal Advisory Committee Act and provides guidance on electronic tax administration issues affecting taxpayers, tax professionals, software providers, financial institutions, payroll companies, and government agencies.
ETAAC works closely with the Security Summit, a public-private partnership established in 2015 by the IRS, state tax administrators, and the tax preparation industry to combat identity theft and tax-related cybercrime.
The report also marked the conclusion of service for four committee members: Douglas Harding of the Connecticut Department of Revenue Services; Carol Lew of Stradling, Yocca, Carlson & Rauth LLP; Stephanie Plaza of Wolters Kluwer; and Mark Steber of Jackson Hewitt Tax Service.
The full report is available at irs.gov/etaac.
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