DESIGN AND IMPLEMENTATION OF COMPUTERIZED INTERNAL REVENUE GENERATION SYSTEM CASE STUDY OF ESWAMA

ABSTRACT

The work presents a design of a computerized Internal Revenue Generation System for ESWAMA. There are several ways in which the term revenue is used. A revenue account is the equivalent of the profit and loss account. Revenue expenditure (as distinct from capital expenditure) is expenditure that is deemed to affect only the current accounting period and is therefore written off to the revenue account during that period. Judgments also have to be made on when a company should or can recognize revenue. In general, it depends more on when contractual obligations are fulfilled than when the money is received; for example, revenue is normally recognized when delivery has been made and the goods have been invoiced even though the payment may not be received for another month.

The computerized Internal Revenue Generation System (CIRGS) is a tool that will assist ESWAMA administrators in interpreting the revenue outcomes of operational decision-making. It will help administrators to decide whether their programs revenue health is better or worse than during previous accounting periods or past budget periods.

ORGANIZATION OF WORK

This project work is primarily designed to give an insight to Computerized Internal Revenue Generation System.

Chapter one talks about introduction to Computerized Internal Revenue Generation System, study of problem and objectives as well as definition of the scope.

Chapter two comprises the literature review. Chapter three gives the detailed information about the existing (old) system, while chapter four and five deals with the design and implantation of new system.

Chapter six document the project work, while chapter seven summaries,  conclusion and suggestions were made.

CHAPTER ONE

1.0           INTRODUCTION

The Computerized Internal Revenue Generation System (CIRGS) is an operational system that supplies the reports and data that are used for the audit of the Custodial Revenue Statements of the IRS by the General Accounting Office (GAO).  A major objective of the custodial Revenue reporting system is to be continuously and accurately responsive to regular and ad hoc requests for custodial revenue reports.

CIRGS is currently in the Control phase of the IRS CPIC process where it is continuously monitored for cost, schedule, and project performance. The IRS ensures that operational systems are executed in a disciplined, well-managed, and consistent manner through timely oversight, quality control, and executive review.

 The Administrative revenue operations, information systems, and statements are similar to those found in any large corporation. However, the Custodial revenue operations, information systems, and associated statements track tax revenues processed through the lRS pipeline. The pipeline is the IRS’ tax return processing channel that begins at initial receipt of tax returns and remittances and tracks the information/funds through postings on the Master Files, many large databases. 

Revenue and Refunds

This system is used to identify all of the detailed transactions that posted to the Individual Master Files (IMF), Business Master Files (BMF), Individual Retirement Accounts File (IRAF), and Non-Master Files (NMF) during the fiscal year. These detail transactions are broken down into Revenue transactions, Refund transactions, Other Transactions that are part of the fiscal year, and Other Transactions that are not part of the fiscal year. Once these breakouts are done, revenue and refund reversal transactions are matched to the transactions they reverse. Paper and electronic reports are generated and distributed to the Office of the CFO and to GAO. The detailed files provide support for the amounts from the Interim Revenue Accounting Controls System (IRACS). The files are also made available to GAO for sampling and to validate the revenue statements.

Unpaid Assessments

The objective of Unpaid Assessments is to continue to provide the users, Chief Revenue Officer  (CFO), Research, Compliance, and GAO, with required program changes for reporting, researching and auditing of the revenue statements for debit balance and frozen credit modules.  The near term objectives are to support:

1.1               STATEMENT OF PROBLEM

Owing to:

• The difficulties people face in keeping information/data.
• Unwillingness attitude of some ESWAMA staff when dealing with data/information.
• Fragile nature of information/data.
• Error encountered in revenue analysis.
• Mispresentation of revenue data.
• Difficulties people encountered when searching for a given information.
• Time wasted in searching for information on packed files.
• Time wasted in sorting files.
• Important nature of data/information in the growth of any organization.

1.2               AIMS AND OBJECTIVES

The aims and objectives of this project are listed below:

• To develop software called Computerized Internal Revenue Generation System that will replace the ESWAMA manual method.
• To stop or eliminate the difficulties people face with manual method of planning revenue report.
• To eliminated unwillingness and nonchalant attitude of some staff that deal with information in an organization.
• To demonstrate increased motivation to the Computerized Internal Revenue Generation System workers.
• To easy the work associated with manual method.
• To eliminate the error involved with the manual method of planning revenue report.
• To save the time wasted when searching or sorting for a given data/information.
• To remove untidy nature of most offices because of huge number of files scattered all over.

All these contributed to show that revenue office is now been influence by information technology.

1.3               PURPOSE OF STUDY

The main purpose of this study is to put to an end the difficulties people encountered during revenue generation. This is actualized by designing Computerized Internal Revenue Generation System which is user friendly and interactive. By the time this software is designed and implemented, the difficulties encountered with manual method of keeping revenue information will be eliminated.

1.4               SIGNIFICANCE OF STUDY

With the growth in information technology, the study offers numerous values both to the ESWAMA and to any organization that deals on Revenue data/information.

Huge of files kept in the offices will no longer be there again because information will be stored on the computer with the help of the Computerized Internal Revenue Generation System.

Because of the easy to use nature of the Computerized Internal Revenue Generation System, any organization can easily buy it to make use of them.

1.5               SCOPE OF STUDY

This project work is narrowed to Revenue department ESWAMA. It deals with the development of Computerized Internal Revenue Generation System to help in the storage of revenue data/information in the ESWAMA revenue office.

It stores all general revenue and individual information.

1.6               LIMITATION OF STUDY

Owing to the scope of this project work as stated above, this project work is limited to a Computerized Internal Revenue Generation System ESWAMA.

It is important to mention here that time was a major constraint in the course of fact finding. It is also wise to mention here that some information we need to work with was not collected because of the unwillingness of the staff to review such information.