obÌåÓý

Purpose: This IRM subsection provides instructions concerning the Governmental Liaison (GL) program that facilitates the exchange of data and fosters partnerships with federal, state, and local governmental agencies to improve tax administration, in accordance with Policy Statement 11-98, FedState Relations. See IRM 1.2.1.11.13, Policy Statement 11-98 (Formerly P-6-14).

Audience: This IRM is intended for all employees of Governmental Liaison, Disclosure and Safeguards (GLDS).

Policy Owner: The GL Office, under GLDS, is responsible for oversight of the GL policy.

Program Owner: The GLDS Office, under Privacy, Governmental Liaison and Disclosure (PGLD) is the program office responsible for oversight of the Servicewide Governmental Liaison policy.

Primary Stakeholders: Governmental Liaison in collaboration with all IRS business units and the federal, state and local government agencies that enter into agreements with the IRS.

The Associate Director, Governmental Liaison (GL) supports IRS compliance, enforcement, and service to taxpayers by partnering with federal, state, and local governmental agencies to improve tax administration at all levels of government.

The Associate Director, GL carries out their goals by:

The mission of the Associate Director, GL is to establish roles and responsibilities and direct overall operations for GL federal and GL field staff.

GL programs, initiatives, and projects often involve one or more BUs to maximize cooperation and leverage resources.

PGLD staff provide technical assistance and/or partner with GL, as follows:

BU staff at all levels provide information, commit resources and provide technical expertise necessary to create and implement initiatives and projects involving GL partners to achieve tax compliance, accomplish the IRS goals, and enhance federal tax administration. MOUs with Small Business/Self-Employed (SB/SE) and Taxpayer Services (TS) provide a framework for any assistance GLs need.

GL generally manages partnering relationships between the IRS and state, local and federal governmental agencies through the FedState Program, the Municipal Agency Program (MAP) and the Federal Intergovernmental Program (FIP).

The GL is the primary POC for partnering with these agencies for matters not related to tax reporting, information reporting and compliance issues relative to governmental entities in their role as taxpayers or employers. The TE/GE division has jurisdiction over governmental agencies where these issues are concerned. The GL:

GL field works closely with the DM in Fed/State Program activities where the IRS provides FTI to local, state and territory revenue and workforce agencies. GL federal works closely with Disclosure HQ in activities where FTI is provided to federal agencies. Disclosure coordinates, reviews and approves documents with respect to the following:

MAP is one of GL¡¯s partnering components which expands GL¡¯s mission of governmental partnering and data sharing by engaging municipal agencies. GLs maintain a relationship with municipalities within assigned states. The GL relationship with local government is to leverage the sharing of information that will provide a mutual benefit. This relationship is secondary to that of the primary local government contact which is assigned to TE/GE and focuses on compliance. There are currently 13 cities that qualify to receive FTI under IRC 6103(d). Some examples of the relationship GLs may have with municipalities includes:

The FIP provides a systematic and structured approach to expanding existing relationships and establishing new relationships with other federal agencies. The FIP Program helps ensure that the IRS has a centralized process to appropriately coordinate new federal initiatives and provide a Servicewide inventory of these agreements and initiatives.

IRC 6103(d), authorizes the IRS to disclose FTI to states (as defined by IRC 6103(b)(5)), for tax administration purposes, upon written request. Complete guidelines for making disclosures of FTI to states for tax administration purposes are located in IRM 11.3.32, Disclosure to States for Tax Administration Purposes.

In each of the states with an income tax, there are at least two state tax agencies to which the IRS may disclose FTI. Generally, one or more tax agencies in each state administer such taxes as individual income, corporate, franchise, sales, excise, and property tax. A separate tax agency in each state normally administers the unemployment tax.

Each state tax agency and the IRS may enter into data exchange agreements that provide for the mutual exchange of FTI and state tax information, as described below:

As a condition of receipt [required by IRC 6103(p)(4)] of FTI under any new agreement or MOU or of FTI not previously received by the agency, the agency must meet the IRS safeguarding requirements, including the submission or updating of a SSR. The GL will forward a completed SSR Notice to the agency, to remind the agency of SSR requirements when the agency wishes to participate in new MOUs and agreements involving the disclosure of FTI to agencies, as well as for the annual GLDEP enrollment.

Employees must follow official policy for receipt and transmission of FTI. The means for transmitting FTI may vary according to the sensitivity of the material involved. Refer to the Transmission subsection of IRM 10.5.1, Privacy and Information Protection, Privacy Policy. In the event alternative transmission methods are considered, please ensure they are commensurate with, and adhere to, established IRM policy and/or other approved agency guidance regarding secure transmission (i.e., Publication 1075, Tax Information Security Guidelines for Federal, State and Local Agencies).

FTI may be requested on a case-by-case basis using Form 8796.

Form 8796 and Form 8796-A must be signed by an officer or employee of the requesting agency who is authorized to request and receive FTI for the agency. Refer to IRM 11.3.32.8, Authorized Disclosures pursuant to IRS 6103(d)(1).

GL staff who receive written requests for FTI from states via Form 8796-A or other documents will refer them to GLDS Support Services for processing or assistance, unless the DM agrees, in advance, to process the request locally.

GLs may assist DMs in updating the list of state personnel authorized to make written requests for FTI or the list of IRS personnel authorized to make requests to states.

Safeguards ensures federal, state, and local governmental agencies properly protect FTI in their possession to the IRS standards. Safeguards staff conduct oversight reviews of agencies to verify that safeguard requirements are met.

Safeguards determines the frequency of Safeguard and Need and Use Reviews, which are usually conducted every three years, but may be more or less frequent if circumstances warrant it. Safeguards conducts Safeguard Reviews of the procedures and practices of agencies that receive FTI to determine compliance with the safeguard requirements of IRC 6103(p)(4). Safeguards also verifies agencies¡¯ actual Need and Use of the FTI by state tax agencies.

See IRM 11.3.36, Safeguard Review Program, and Publication 1075, Tax Information Security Guidelines for Federal, State, and Local Agencies, for more information about the Safeguard Review Program.

One of GLs key responsibilities is to explore opportunities to partner with other governmental entities to improve tax administration and reduce burdens on taxpayers. Many opportunities are found through joint initiatives with external agencies. Opportunities also exist to partner with federal and local agencies.

GL will assist in facilitating state, local, territories and federal agency support for initiatives owned by the IRS BUs.

GLs may identify and facilitate joint initiatives involving the IRS BUs and other partners. obÌåÓýever, the day-to-day management of such initiatives is the responsibility of the BU.

GLs will adhere to Section 5.3 of the BA with their state agencies, which states, "In addition to the exchange of tax and other information, the agency and the IRS will, to the extent feasible, extend to each other assistance in other tax administration matters. This may include such activities as taxpayer assistance, training of personnel, special statistical studies and compilations of data, development and improvement of tax administration systems and procedures, and such other activities as may improve administration."

GLs work with the BUs to secure training materials for requesting government agencies.

Potential joint initiatives can be identified in a number of ways: as a result of a request from a BU, on one's own initiative, brainstorming with internal and external stakeholders, or replicating an approved existing initiative.

To identify joint initiative opportunities, GL must know the program goals and strategic plans and/or priorities of internal and external stakeholders. GL must have a working knowledge of the IRS goals and strategic plans along with the more specific goals and objectives of the BUs. In addition, GL must be familiar with the goals and strategic plans of state and local tax and non-tax agencies, federal agencies, and other potential partners.

Regular meetings and networking with internal and external stakeholders are essential. Joint meetings are a good opportunity to brainstorm new initiatives, but they must be in clear support of an IRS business priority.

GLs must become familiar with joint initiatives taking place in other states and areas. Successfully implemented initiatives in one state or area may be replicated in others. A nationwide listing of GL initiatives is available on the GL SPO.

Project teams and analysts collaborate with the IRS operations, BUs, and other governmental stakeholders to develop and document initiatives and related activity utilizing the PMIT. The PMIT establishes a uniform process across PGLD for implementing and documenting business projects and initiatives.

A PMIT will result in consistent management, reporting, transparency and collaboration on joint projects and initiatives. The benefits of a PMIT are:

The PMIT process enables GL and the BU to work together to:

In partnership with the IRS operations, BUs, and external stakeholders, PGLD will use the PMIT process when developing initiatives involving these activities:

The PMIT process does not override or replace Compliance Initiative Projects (CIPs) or other campaigns.

In GL, the federal analyst or State Specialist leads completion of the PMIT form, with GL field analyst support, as appropriate, and includes the following:

The completed PMIT form is a historical record and business case of an initiative¡¯s development. It is a resource for development of future initiatives. GL will store all PMITs in the PGLD, Privacy Policy and Knowledge Management document repository, including those not implemented.

GL has primary responsibility for the development and coordination of agency agreements and MOUs.

An agreement or MOU is utilized for specific ongoing tax administration projects/exchanges, when the disclosure is authorized with respect to taxes imposed by a chapter listed under IRC 6103(d) or other applicable code sections.

GL documents all agreements and MOU development using the Governmental Liaison Data Exchange Request, Form 15426, see IRM 11.4.1.11.2, Governmental Liaison Data Exchange Request Form.

GL ensures all agreements adhere to the IRS requirements on privacy, disclosure, safeguards, records, and identity assurance policies, and that the appropriate language is included in all agreements.

GL secures appropriate P&A Counsel review and approval for agreements.

GL maintains an official copy of all agreements in the GL SPO Library.

The Chief Privacy Officer executes BAs on behalf of the IRS. The Director, GLDS executes IAs on behalf of the IRS.

Agreements and MOUs are signed by an official in the operating division having jurisdiction for the project/exchange and who is authorized by Delegation Order 11-2, see IRM 1.2.2.11.2, Delegation Order 11-2 (Rev. 3), Authority to Permit Disclosure of Tax Information and to Permit Testimony or the Production of Documents.

Under the provisions of IRC 6103(p)(2)(B), an agency that receives FTI from the IRS can request approval to disclose the FTI to another state, local or federal agency also authorized to receive the same FTI on behalf of the IRS.

Once the 6103(p)(2)(B) authorization letter is signed by the Director, GLDS, the GL field analyst will upload the agency¡¯s request and the IRS authorization letter to the GL SPO by utilizing the Upload Request to GL Agreements Library function.

GL field analysts follow up on state/local agencies 6103(p)(2)(B) authorizations, and GL federal analysts follow up on federal 6103(p)(2)(B) authorizations. The GL SPO allows GLs to filter the library to highlight expirations in the coming year to help GLDS develop a timeline for reaching out to agencies timely. The GL assists the agencies with any decisions or concerns to ensure agencies have sufficient time to consider renewing the exchange. GL will contact Disclosure HQ as needed. For additional information on processing a request, see IRM 11.3.32.23, Re-disclosures by State Tax Agencies pursuant to IRC 6103(p)(2)(B).

The GL Agreement Library is a SharePoint document library that stores all IRS agreements that require PGLD oversight with federal, state, territory and local governmental agencies, and specific non-governmental exchange partners. The GL Agreement Library is used to reference, research and analyze agreements by using filters on the meta data.

The GL Agreement Library excludes the following agreements:

In recognition of the escalating challenges facing the tax ecosystem and the need to act quickly to prepare for the next tax filing season, the IRS Commissioner called on leaders in the public and private sectors to come together and work collaboratively to protect taxpayers from Identity Theft refund fraud. On March 19, 2015, the Commissioner convened an unprecedented Security Summit meeting in Washington, D.C. with the IRS officials, the Chief Executive Officers of the leading tax preparation firms, software developers, payroll and tax financial product processors, and state tax administrators, to discuss common challenges and ways to leverage our collective resources and efforts. From this initial meeting, an agreement (Security Summit Memorandum of Understanding) was developed to establish how the Security Summit will work, including six working groups. From the Security Summit, an additional need developed to share information; this spin-off became the ISAC.

The Security Summit and ISAC programs are owned by TS, Return Integrity and Compliance Services (RICS).

PGLD GL HQ¡¯s involvement in the Security Summit and ISAC include providing guidance for Security Summit and ISAC activities and assistance when a PGLD program is affected.

GLs will ensure the appropriate GL Counsel contacts are made. The following chart provides definitions of the differing GL Counsels and their responsibilities.

GL will ensure GL Counsel (GLS and P&A) involvement in accordance with guidelines in the PMIT, discussed in IRM 11.4.1.12, Privacy, Governmental Liaison, and Disclosure (PGLD) Project Management Initiative Template (PMIT), to provide appropriate oversight and review of GL initiatives in the developmental stages.

GL will refer agreements to GL Counsel for review and clearance (including MOUs, Letters of Understanding, contracts, and so on) unless the document is a template previously approved by the appropriate GL Counsel.

IRM 37.1.3 GL Counsel Contacts, instruct GL field analysts to contact Associate SB/SE Area Counsel for legal advice on routine matters relating to GL programs. The current list of Associate Area Counsel contacts by state can be found at Government Liaison Contacts.

The vast resources available through the Internet provide a wealth of information that is not only available to the public, but that can be useful in resolving a variety of GL questions and issues.

The IRS Source is essential to the GL as a primary source of information. It efficiently directs employees to content and services available on the IRS intranet, which they need to perform their duties. Through the IRS Source, GL staff must visit:

For information related to disclosures to government agencies, refer to IRM 11.3.29.12, Disclosure of Return Information to Federal, State and Local Agencies (DIFSLA) - IRC 6103(l)(7).

For congressional inquiries coordinated by Communications & Liaison, refer to IRM 11.3.4.2, Disclosure to Members of Congress.

For information related to tax account inquiries for taxpayers and constituent, refer to IRM 13.1.8, Taxpayer Advocate Case Procedures - Congressional Affairs Program.

GL SPO provides information about GL programs, GL assignments, GLDS communiques and links to other key information.

GLs may receive requests for statistical data from federal, state, or local governmental agencies. GLs will refer to the procedures in Disclosure IRM 11.3.32.19, Special Statistical Studies, Compilations, and Other Services, to advise them to make requests to the Statistics of Income (SOI) Division pursuant to IRC 6108(b).

GLs may provide further guidance and assistance to requesters by referring them to the Tax Statistics web page.

GLs may refer to SOI IRM 1.13.1.7, Statistical Services - Out-Service Requests, for additional information about requests for statistical data.

GLs will refer unresolved inquiries to the appropriate Disclosure Office for assistance.

GL staff may receive requests for information and assistance from external stakeholders on a variety of topics, including questions about tax law provisions, the IRS administrative procedures, the IRS policies, legislative matters and IRS testimony. Such requests require that GL staff either respond independently or request the assistance of the IRS BUs or other organizations, such as Disclosure and Counsel (GLS, P&A or the Associate SB/SE Counsel as per guidance for GL field analysts in IRM 11.4.1.17, Coordination of GL Program Legal Issue with GL Counsel).

Upon receiving information and assistance requests from external agencies, GL staff will conduct initial research using the many research tools available, including, but not limited to, the variety of electronic resources described in IRM 11.4.1.18, Effective Use of Intranet/Internet Resources.

If GL staff is unable to resolve inquiries using the available research tools, such as for technical or complex issues, they may need to request the assistance of the appropriate BU. GL staff will contact local BU staff to try to resolve the issue or question.

In the event GLs are unable to resolve information and assistance requests locally, they will request the assistance of GL State Specialists, as discussed in IRM 11.4.1.20.1, Taxpayer Services (TS), through IRM 11.4.1.20.4, Large Business and International (LB&I), below.

GLs will direct agencies to submit inquiries related to the Safeguard program and/or requests for assistance related to compliance with the IRS safeguard requirements, including safeguard report requirements, to the Safeguards mailbox, at [email protected] for direct response by Safeguards. GLs will not attempt to answer questions on behalf of Safeguards, unless Safeguards provides GL information with which to respond.

GL may receive requests for technical and legislative assistance, including requests for the IRS testimony or written advice on tax matters, from state officials. GL staff will contact Disclosure and/or refer to Disclosure IRM 11.3.35.3, Requests Requiring Special Processing, for assistance on requests and demands for testimony or for the production of the IRS documents.

Speaking at meetings, conferences and other forums, and participating in seminars or meetings provide excellent opportunities for the IRS representatives to share information with external governmental agency partners. The IRS strategic plan and BU business plans and priorities will drive decisions on whether to provide speakers to external agency requesters, in accordance with the IRS Policy Statement 11-93, regarding speaking, writing engagements and contacts with outside groups. See IRM 1.2.1.11.8, Policy Statement 11-93 (Formerly P-1-181), Speaking, writing engagements and contact with outside groups are encouraged subject to limitations.

State departments of revenue, other federal state and local agencies may request IRS speakers for various reasons. These requests could range from the IRS procedural issues to filing season updates and tax law changes. Many of the requests will be for local purposes, such as staff meetings, CPEs and other training. For example, a state revenue agency may be involved in planning a FTA meeting or conference and may want a BU SME or other speaker from the IRS senior management or executive staff.

To help achieve the best results for external agency needs, the GL staff will follow the procedures below to secure a speaker upon receiving a request from an external agency (other than for the IRS Commissioner or Deputy Commissioners, which are covered in (4) below).

All GLs must obtain managerial approval prior to submitting a speaker request for the IRS Commissioner. Once managerial approval is obtained, immediately forward speaker requests for the IRS Commissioner by completing the Form 14148-C, Commissioner Internal and External Speaker Request, via email to the GL Federal SRC for processing.

The GL Federal SRC will review approved requests and will obtain the further approval of the Associate Director, GL, before taking further action to process the requests. After obtaining the approval of the Associate Director, GL, the GL Federal SRC will review and forward the request to [email protected]. GL Federal SRC will work with the IRS Commissioner¡¯s office as needed and will provide status updates to GL.

The International Visitors Program (IVP) provides government officials from other countries with an opportunity to receive clear and concise briefings on the U.S. Internal Revenue Service¡¯s programs and policies. The briefings, given by the IRS experts, assist the foreign country with its organization, strategic goals and plans. Only publicly available information may be provided to foreign tax officials through the IVP. The IRS does NOT accept applications from non-government entities, interns, fellows, or students working on degrees or research.

An IVP Application requesting a visit to the IRS must be in writing and originate from the country¡¯s taxing authority. It must come through appropriate government channels, and all participants must be national, state or local government officials involved in taxation. They must send the written request forty-five (45) days in advance to allow time for the IRS IVP Office to schedule presentations on the topics requested, identify the IRS experts who will meet with the officials, and allow the experts sufficient time to prepare the presentations.

More information can be found at International Visitor¡¯s Program and IRM 4.62.1, International Visitor¡¯s Program (IVP) Overview.

Direct any questions to the GL federal analyst or the GL State Specialist assigned the LB&I IVP Program.