IBM Wins Large IRS Contract: Armonk, N.Y.-based...

IBM Wins Large IRS Contract: Armonk, N.Y.-based International Business Machines Corp. has won a contract worth a potential $339.6 million to computerize the Internal Revenue Service’s tax collection system. The IRS has said it expects to be able to collect an additional $2.52 billion in unpaid taxes over a seven-year period once the new system is operational. The initial contract, awarded Dec. 28, is for $126.3 million. The contract calls for 11 mainframe computers, with an option for 10 more. It also contains an option for the IRS to purchase 5,000 IBM desktop computer systems and 10,000 laptop systems.