# IRS to Retire Procurement Hub

The IRS plans to close its procurement hub and move its functions to an existing platform by year-end 2026 after a Treasury Inspector General for Tax Administration (TIGTA) report identified gaps in procurement controls, market research, security assessments, and user-access management. The report also raised contractor risks tied to poorly defined engineering deliverables and significant price increases. The extracted contract details include initial hub contracts totaling $500,000 with introductory pricing for six months and a subsequent 12-month engineering services contract valued at $4.5 million with the same unnamed vendor.

- **Why this matters:** Contractors pursuing federal technology work should expect closer scrutiny of market research, price justification, security controls, access management, and measurable deliverables.
- Companies should document cost assumptions and ensure engineering proposals define clear scope, milestones, and outcomes, given the issues identified in the report.
- The IRS’s planned platform transition may affect how procurement-hub functions are accessed after year-end 2026; businesses serving these requirements should account for the transition in their planning.

**Jurisdictions:** federal
**Industries:** Information Technology
**Topics:** Regulatory Compliance
**Published:** October 02, 2026

### Government Entities
- Internal Revenue Service (IRS)
- Treasury Inspector General for Tax Administration (TIGTA)
- Department of the Treasury (Treasury)
- General Services Administration (GSA)

### Sources
- [Watchdog: IRS skipped step meant to prevent ‘unnecessary spending’ on procurement hub | FedScoop](https://fedscoop.com/irs-procurement-hub-defend-the-spend) - FedScoop