Barcode Automation for Revenue Collection to Organize Disbursement and Enhance Efficiency Act; BARCODE Efficiency Act
Summary
The BARCODE Efficiency Act mandates the use of barcode scanning and optical character recognition (OCR) technology by the IRS for processing tax returns and correspondence. It requires electronically prepared tax returns submitted on paper to include scannable codes. The goal is to convert data into electronic format, improving efficiency and accuracy in revenue collection and disbursement.
Expected Effects
This act will likely lead to faster processing times for tax returns and correspondence. It could also reduce errors associated with manual data entry. The IRS would be required to adopt new technologies and processes for handling paper documents.
Potential Benefits
- Increased efficiency in processing tax returns.
- Reduced errors in data entry.
- Faster turnaround times for refunds and other IRS actions.
- Potential cost savings for the IRS through automation.
- Improved accuracy in revenue collection.
Most Benefited Areas:
Potential Disadvantages
- Potential costs associated with implementing new technology.
- Possible disruptions during the transition to new systems.
- Risk of errors in barcode scanning or OCR technology.
- The exception clause could limit the act's effectiveness if the Secretary of the Treasury deems manual processes superior.
- Privacy concerns related to data security and storage.
Constitutional Alignment
The BARCODE Efficiency Act appears to align with the Constitution's broad mandate to "provide for the general Welfare" (Preamble). Article I, Section 8, Clause 1 grants Congress the power to lay and collect taxes, and this act aims to improve the efficiency of that process. There are no apparent conflicts with individual rights or freedoms guaranteed by the Bill of Rights.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).