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Accountancy Slice
North America
The IRS is facing significant challenges in its initiative to achieve paperless processing, as highlighted in a TIGTA report. The IRS aimed to digitally process 78% of paper-filed returns for the 2025 filing season but has only scanned 5% of its target, with individual paper tax returns costing 43 times more to process than electronic ones. Kenneth Corbin, chief of the IRS's Taxpayer Services Division, said: "The digitalization of tax documents benefits taxpayers and the IRS." Despite receiving $37.6bn in funding from the Inflation Reduction Act, the IRS has struggled with delays and contractor issues, raising concerns about meeting the federal mandate to digitize all records by December 2030.
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