The Treasury Inspector General for Tax Administration (TIGTA) issued a final report on May 17, 2016, after auditing the Internal Revenue Service's handling of amended individual tax returns. It found that examinations of such returns "did not always ensure that claims were properly evaluated" and did not always prevent the issuance of inappropriate tax refunds and abatements. Lack of substantiation was the main cause for this issue.
TIGTA recommended six ways the IRS could improve its examination process and tools. The IRS plans to take action on five of those recommendations.
To view the full report, and the IRS' response, click here.