The Treasury Inspector General for Tax Administration (TIGTA) is concerned that the IRS is not prepared to combat the onslaught of tax fraud that is anticipated once the IRS begins paying premium tax credits associated with the Affordable Care Act (ACA). TIGTA recognizes that the IRS has systems in place to combat fraud in general; it has always been one of their top priorities. But specific ACA fraud is another story. The IRS is not prepared for this new responsibility which is bound to reveal unforeseen nuances. The IRS has tested its systems that compute subsidies under ACA and the testing revealed flaws that could result in the IRS being unable to identify fraud prior to the issuance of credits. In plain English, what this means is there is a significant risk that the IRS will inadvertently pay out credits to people who don’t really qualify. According to the IRS, they have already made system corrections prior to the issuance of today’s report and they will be prepared.