According to a post on the White House blog, 17 million tax transcripts have been downloaded over the Internet since the feature launched in January 2014. The interesting outcome is that, according to the post, offline requests are down by 40%.
There was no clear return on the investment provided on what providing this online service saved taxpayers, but if we assume there are processing costs involved with sending transcripts through the mail and that, once online, the Internet service scales, that’s a good result, as is enabling instant electronic access to something that used to take 5-10 business days to arrive in print form.
Of note: it looks like Americans can expect more online services from the IRS in the near future, according to the the authors of the White House blog post, U.S. Deputy Chief Technology Officer Nick Sinai and Rajive Mathur, director of Online Services at the Internal Revenue Service:
“Building on the initial success of Get Transcript, there are more exciting improvements to IRS services in the pipeline. For instance, millions of taxpayers contact the IRS every year to ask about their tax status, whether their filing was received, if their refund was processed, or if their payment posted. In the future, taxpayers will be able to answer these types of questions independently by signing in to a mobile-friendly, personalized online account to conduct transactions and see all of their tax information in one place. Users will be able to view account history and balance, make payments or see payment status, or even authorize their tax preparer to view or make changes to their tax return. This will also include the ability to download personal tax information in an easy to use and machine-readable format so that taxpayers can share with trusted recipients if desired.”
Promising. I hope that the leadership of the IRS explores how the agency could act as a platform to enable more, much-needed innovation around personal data access and digital services in the years to come, enabling a modern ecosystem of tax software based on a standardized application programming interface.
Improving online self-service could have an enormous impact upon every single American taxpayer, from saving tax dollars on the government side to saving time and gray hairs year round in offices and kitchen tables. Per Sinai and Mathur, the IRS currently receives over 80 million phone calls per year, sends out almost 200 million paper notices every year, receives over 50 million unique visitors to its website each month during filing season.
More context and FAQ on how to download your tax transcript here.