Press Releases August 13, 2026 08:00 AM

TTEC Government Solutions Awarded $21 Million Contract to Modernize IRS Contact Center Infrastructure

TTEC Government Solutions Awarded $21M IRS Contract to Modernize Contact Center Infrastructure Incorporating AI Enhancements

By Sofia Navarro
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TTEC Holdings announces a one-year $21 million contract awarded to its public sector subsidiary, TTEC Government Solutions, to modernize and operate the IRS contact center infrastructure. The contract focuses on integrating AI-powered solutions, intelligent call routing, and workforce optimization to enhance taxpayer service while maintaining security and reliability.

TTEC Government Solutions Awarded $21 Million Contract to Modernize IRS Contact Center Infrastructure
TTEC
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Key Points

  • TTEC awarded $21 million prime contract by IRS to modernize contact center IT infrastructure supporting 30,000 agents and 200 million annual calls.
  • The project includes AI-powered enhancements and omnichannel engagement technologies aligning with the IRS Taxpayer 360 initiative.
  • This contract strengthens TTEC's footprint in the federal public sector and showcases its capabilities in AI, cloud, and customer experience technologies in government.
  • Sectors impacted include technology services, government IT modernization, and customer experience solutions in the public sector.

AUSTIN, Texas, Aug. 13, 2026 (GLOBE NEWSWIRE) -- TTEC, a leading global consulting, technology, and managed services company delivering solutions at the intersection of data, AI, and customer experience (CX), today announced its public sector subsidiary, TTEC Government Solutions in conjunction with TTEC Digital, has been awarded a one-year, $21 million contract by the Internal Revenue Service (IRS) to provide contact center enterprise infrastructure software and solutions.

Awarded through TTEC's General Services Administration Multiple Award Schedule, the contract grants TTEC Government Solutions the prime contractor responsibility for operating, sustaining, and modernizing the IRS contact center information technology infrastructure. The award underscores TTEC's growing role as a trusted technology partner to federal agencies delivering secure, reliable, and citizen-centric experiences at enterprise scale.

"As government agencies embrace AI to better serve citizens, they need partners with the experience to modernize complex customer experience environments while maintaining the reliability and security those missions demand," said Ken Tuchman, chairman and CEO of TTEC. "This award reflects our continued investment in public sector innovation and our commitment to helping agencies deliver simpler, smarter, and more effective experiences for the people they serve."

The IRS contact center environment supports more than 30,000 customer-facing agents, processing more than 200 million annual call events, including approximately 140 million taxpayer calls spanning live assistance and self-service calls. TTEC will provide the enterprise contact center technology and infrastructure that powers omnichannel engagement, intelligent call routing, workforce optimization, quality management, analytics, and reporting across this mission-critical environment.

In alignment with the IRS’s Taxpayer 360 initiative, TTEC will also introduce AI-powered enhancements. These include agentic AI and properly monitored conversational self-service that build on the IRS's existing infrastructure and provide live assistance representatives with better contextual data – helping improve taxpayer experiences while avoiding the cost and disruption of a complete platform replacement.

"For years, our teams have supported the IRS's contact center environment, giving us a deep understanding of its technology, operations, and mission," said Steve Parowski, vice president of TTEC Digital's public sector practice. "We're honored to serve as the prime contractor and look forward to delivering a seamless transition while helping the IRS provide faster, more efficient, and more accessible service for millions of American taxpayers."

The award expands TTEC Government Solutions' federal portfolio and reinforces the company's commitment to helping government agencies modernize constituent experiences through cloud, AI, and customer experience technologies that improve service delivery while maintaining the security, resilience, and reliability required for public sector operations.

To learn more about TTEC’s government and public sector CX solutions, visit Public Sector Solutions | TTEC Digital and Public Sector Solutions | TTEC.

About TTEC

TTEC Holdings, Inc. (NASDAQ: TTEC) is a leading global consulting, technology, and managed services company delivering solutions at the intersection of data, AI, and customer experience. Serving iconic and disruptive brands, TTEC’s outcome-based solutions span the entire enterprise, touch every virtual interaction channel, and improve each step of the customer journey. Leveraging next-generation digital technology, the Company’s TTEC Digital business designs, builds, and operates omnichannel contact center technology, CRM, AI, and analytics solutions. The Company also delivers AI-enhanced customer engagement, customer acquisition and growth, tech support, back-office, and fraud prevention services. Founded in 1982, TTEC’s singular obsession with CX excellence has earned it leading client, customer, and employee satisfaction scores across the globe. The Company’s employees operate on six continents and bring technology and humanity together to deliver happy customers and differentiated business results. To learn more, visit https://ttec.com.

Media Contact
Meredith Matthews
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Risks

  • Dependence on continued IRS and federal government funding and contract renewals introduces potential revenue volatility for TTEC.
  • Implementation challenges and technological disruptions could delay modernization efforts and affect contract performance.
  • Cybersecurity and data privacy risks inherent in managing sensitive government taxpayer information could lead to liabilities or reputational damage if not properly managed.

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