It may be common for consumers to have unused software on their computers, but when it comes to the IRS, investigators say it’s costing taxpayers millions of dollars.
In fact, the IRS has bought so much software and software licenses it hasn’t used that the cost could be between $81 and $114 million, according to the Treasury Inspector General for Tax Administration.
Investigators said the tax-collection agency needs better control over its software purchases and more information on how those programs are being used.
“Without these tools and a software asset and license management structure in place, the IRS cannot effectively determine if the software contracts it enters into are reflective of its current or future projected server software license and support needs,” the IG said.
The IRS disagreed with the cost estimate, stating that they believed that only $3.2 million had been wasted. But the agency said they were also planning to shore up their oversight process.
“We believe the IRS has made progress in minimizing risks and improving controls for software asset management,” a response from the IRS said. “We are conducting activities related to centralizing software license management for IBM and Microsoft server and workstation software.”
• Phillip Swarts can be reached at pswarts@washingtontimes.com.
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