,,ib ,union ,calendar ,no4 #gjf #aaith ,,congress #b;d ,session ,h4 ,r4 #gigb ,report ,no4 #aai-hjg ,,in ,,the ,,house ,,of ,,representatives ,march #ah1 #bjbf,mr4 ,schweikert introduced the following bill2 which was referred to the ,committee on ,ways and ,means ,september #h1 #bjbf,reported with an amendment1 committed to the ,committee of the ,whole ,house on the ,state of the ,union1 and ordered to be printed,strike out all after the enacting clause and insert the part printed in italic,for text of introduced bill1 see copy of bill as introduced on ,march #ah1 #bjbf ,a ,,bill ,to require the ,internal ,revenue ,service to establish a fellowship program within the ,internal ,revenue ,service to recruit qualified data scientists to partner with tax law specialists and provide insights and identify emerging and complex issues in tax administration1 ranging from data acquisition and quality through developing advanced analytics1 statistics1 and models to improve core tax administration activities in services and enforcement4 #a4 ,short title ,this ,act may be cited as the ,taxpayer ,workforce ,modernization ,act4 #b4 ,,irs ,fellowship ,program 7a7 ,establishment ,not later than ,september #cj1 #bjbf1 the ,commissioner of ,internal ,revenue 7hereinafter known as the ,commissioner71 after consultation with the ,chief ,counsel of the ,internal ,revenue ,service 7hereinafter known as the ,chief ,counsel7 and the ,chief ,data and ,analytics ,officer of the ,internal ,revenue ,service 7hereinafter known as the ,chief ,data ,officer71 shall establish within the ,internal ,revenue ,service a fellowship program 7hereinafter known as the program7 to recruit qualified data scientists in the private sector to join the ,internal ,revenue ,service to create and participate in the task force established under subsection 7e74 7b7 ,objective ,the ,commissioner1 after consultation with the ,chief ,counsel and ,chief ,data ,officer1 shall design the program in a manner such that the program-- 7#a7 addresses such tax cases handled by the ,internal ,revenue ,service as the ,commissioner determines-- 7,a7 are the most complex1 or 7,b7 include new and emerging issues1 and 7#b7 recruits and retains outstanding and qualified tax experts4 7c7 ,advertisement of program ,the ,commissioner shall advertise the program in such a way as to attract qualified data scientists and such other tax professionals as the ,commissioner determines are appropriately qualified to handle the most complex tax cases4 7d7 ,structure 7#a7 ,in general ,the program shall be staffed by not fewer than #aj fellows at the discretion of the ,commissioner based on the needs of the ,internal ,revenue ,service and the availability of qualified candidates4 7#b7 ,term of service 7,a7 ,in general ,each fellow shall be hired for a #b-1 #c-1 or #d-year term of service4 7,b7 ,extensions 7i7 ,in general ,a fellow may apply for1 and the ,commissioner may grant1 a #a-year extension of the fellowship4 7ii7 ,no limit on number of extensions ,there shall be no limit on the number of extensions under clause 7i74 7#c7 ,fellowship vacancies ,the ,commissioner1 after consultation with the ,chief ,counsel and ,chief ,data ,officer1 shall fill vacant fellowships-- 7,a7 in such a manner as to ensure that the program is staffed with no fewer than #e fellows1 and 7,b7 as soon as practicable after the vacancy arises4 7#d7 ,hiring authority ,the ,commissioner shall have authority to permanently hire a fellow at the end of the term of service for such fellow4 7e7 ,task force ,not later than the date on which the first fellowship is awarded under this section1 the ,commissioner shall establish a task force within the ,internal ,revenue ,service and the office of the ,chief ,counsel in both national and regional office placements that includes the fellows hired pursuant to subsection 7d71 the purpose of which is to-- 7#a7 develop1 test1 and refine data-driven methodologies to support audit case selection1 7#b7 educate ,internal ,revenue ,service employees on the use1 interpretation1 and limitations of data analytics1 models1 and emerging analytic techniques relevant to tax administration1 7#c7 support1 in coordination with examiners and tax experts1 the audit of selected taxpayers through advanced data analysis1 transaction-level testing1 and quantitative modeling1 7#d7 support efforts to address offshore tax evasion and issues implicating the ,foreign ,account ,tax ,compliance ,act through data integration1 anomaly detection1 and network analysis1 7#e7 identify1 mentor1 and train junior employees from the ,internal ,revenue ,service with respect to using data analytics and emerging analytic techniques to identify risk and facilitate task administration improvements1 7#f7 review existing use cases of artificial intelligence and data analytics with respect to tax administration1 provide recommendations to improve on such existing cases1 and identify new such cases1 and 7#g7 provide data-driven recommendations for improving audit effectiveness and efficiency and for improving improper tax payments4 7f7 ,composition ,the task force established under subsection 7e7 may be composed of both-- 7#a7 fellows1 and 7#b7 permanent employees of the ,internal ,revenue ,service4 7g7 ,pay of fellows 7#a7 ,in general ,the ,secretary of the ,treasury 7or the ,secretary's delegate7 shall determine1 subject to the provisions of this subsection1 the pay of fellows recruited under subsection 7a74 7#b7 ,pay scale ,for purposes of paragraph 7#a71 the pay of a fellow shall not be less than the minimum rate payable for ,,gs-#ae of the ,general ,schedule and shall not exceed the amount of annual compensation 7excluding expenses7 specified in section #ajb of title #c1 ,united ,states ,code4 7h7 ,administration of program ,the ,secretary of the ,treasury 7or the ,secretary's delegate7 may appoint a lead program officer to administer and advertise the program4 7i7 ,annual review and report ,not later than #a year after the date on which the first fellowship is awarded under this section1 and annually thereafter1 the ,commissioner shall submit to ,congress a report containing-- 7#a7 an analysis of the effects of the program1 7#b7 an analysis of the return on investment of the program1 including calculations of all costs incurred and benefits incurred1 which may include predicted revenue increases based on task force recommendations2 tax revenue and penalties recommended1 assessed1 or collected due to the work of the task force2 and operational improvements in taxpayer service1 7#c7 a description of the total number of fellows who apply each year1 and 7#d7 recommendations for changes to the program1 if any4 7j7 ,rules and regulations ,the ,commissioner1 with the approval of the ,secretary of the ,treasury 7or the ,secretary's delegate1 other than the ,commissioner71 shall promulgate such rules and regulations as may be necessary for the efficient administration of the program4 7k7 ,qualified data scientist defined ,in this section1 the term qualified data scientist means a specialized professional who has demonstrated skills applying advanced analytics1 statistical modeling1 or machine learning in complex regulatory1 financial1 or compliance environments while working alongside tax law specialists and other tax subject matter experts4 ,september #h1 #bjbf,reported with an amendment1 committed to the ,committee of the ,whole ,house on the ,state of the ,union1 and ordered to be printed