Synthetic Businesses Pilot

The Internal Revenue Service is soliciting a total small business set-aside, firm-fixed-price purchase order for the Synthetic Businesses Pilot. The objective is to support the Return Integrity Verification Program Management Business Performance Lab in identifying fabricated entities, also known as synthetic businesses, to mitigate fraud related to the acquisition or reinstatement of Employer Identification Numbers for tax refund fraud and other illicit activities. The contractor will provide datasets, verification, fraud scoring, and analysis for up to 500,000 entities annually, with a surge capacity for an additional 500,000 entities. Deliverables must be provided in IRS-acceptable formats such as CSV, JSON, or XML. The contract structure consists of a 12-month base period followed by four 12-month option periods, with a potential final extension of up to six months. Award will be determined via a best value tradeoff process, prioritizing technical approach, expertise in synthetic business identification, and corporate past performance from the last three years. The contractor must adhere to strict security standards, including NIST SP 800-70, NIST SP 800-207 Zero Trust Architecture, and CISA Binding Operational Directives. Additionally, personnel must complete mandatory IRS Security Awareness Training and comply with the Taxpayer Browsing Protection Act of 1997. All invoicing must be processed electronically through the Invoice Processing Platform.