National research program audits or Taxpayer compliance measurement program (TCMP)

What is National Research Program audit?

In the past theIRS has carried out tax payer compliance measurement program (TCMP) audits. These Taxpayer compliance measurement program (TCMP) audits are also called National Research Program (NRP) IRS audits. The IRS conducts these IRS audits to collect statistical information.

Purpose of TCMP audits or National Research Program

TCMP audits in the past were nothing more than a time consuming expensive and intrusinve way for the IRS to update its computer database at the tax payers' financial and emotional expense. In a tcmp audit, the IRS asked tax payer to verify every entry on the tax return.

For example, the IRS asked tax payer to prove that the tax payer has a child, prove that the tax payer paid $5,000 in mortgage interest or prove that tax payer gave $200 to  church or synnagogue. The IRS then used this informaiton to update its computers for DIF score analysis purposes.

A tax payer cannot avoid a TCMP audit or NRP audit, even if the added burden of dealing with the IRS audit, both in terms of time and money, is a hardship. The courts have determined that this is the price that tax payers must pay.