THE SURVEY WAS CARRIED OUT AT THE NATIONAL OFFICE IN WASHINGTON, D.C., AND AT SELECTED DISTICT OFFICES IN THE MID-ATLANTIC, SOUTHWEST, AND WESTERN REGIONS. IT FOUND THAT THE IRS IS MAKING GOOD USE OF COMPUTER AUDITORS IN EXAMINING RETURNS OF LARGE CORPORATE TAXPAYERS, BUT THE PROGRAM HAS NOT REACHED ITS FULL POTENTIAL. MANAGEMENT NEEDS TO ASSURE THAT (1) COMPUTER AUDIT SPECIALISTS ARE USED MORE EXTENSIVELY IN OTHER COMPLIANCE PROGRAMS, (2) ADEQUATE COMPUTER HARDWARE IS PROVIDED TO SUPPORT THE PROGRAM, AND (3) BETTER LINES OF INTERREGIONAL COMMUNICATION ARE ESTABLISHED AMONG COMPUTER AUDIT SPECIALISTS AND PROGRAM MANAGERS. THE REPORT RECOMMENDS THAT THE IRS ESTABLISH PROCEDURES TO BETTER COORDINATE AND CONTROL DUPLICATE DEVELOPMENT OF COMPUTER APPLICATIONS AND ENSURE SERVICEWIDE USE OF STANDARD APPLICATIONS WHEN APPROPRIATE. (AUTHOR ABSTRACT MODIFIED--PRG)