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Revenue Department budgets IT upgrades, seeks to improve online services and cut hosting costs
Summary
The Department of Revenue presented a FY26 budget centered on self‑generated revenue and a planned software upgrade intended to modernize taxpayer services and reduce hosting costs; officials highlighted LATAP portal improvements, a new website chatbot and a multi‑version tax software migration.
The Department of Revenue told the House Appropriations Committee its FY26 budget centers on self‑generated revenues, continued operation of tax‑collection programs and an IT upgrade that officials said could reduce long‑term hosting costs.
Presenters said the department’s FY26 recommendation stands near $134.8 million and is almost entirely fee and self‑generated revenue (99.2 percent). The Tax Collection program accounts for roughly 90 percent of the total budget and houses the largest share of authorized positions.
Why it matters: The department administers revenue collection and taxpayer services that directly fund state operations. Upgrading core tax software influences refund timing, payment processing and the state’s ability to offer modern online services to individuals and businesses.
IT modernization and…
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