** Update of March 31, 2016
LB&I has begun publishing Internal Revenue Manual updates to incorporate the issue-driven examination process outlined in Publication 5125. We encourage TEI Members to review the updates and send your questions, comments, and concerns to Patrick Evans, TEI’s Chief Tax Counsel, at firstname.lastname@example.org or (202) 464-8351.
As you may have recently read in the tax press or heard about at TEI’s Annual Conference, LB&I has redesigned its examination process to increase the efficiency, effectiveness, and transparency of its audits. A central aspect of a tax audit is information gathering, generally through the use of Information Document Requests or IDRs. LB&I executives believe the current IDR management process lacks the rigor necessary to hold taxpayers and examiners accountable for timely and efficient fact gathering.