IRS Awards $4.2M Contract to Dynamic-Pro for Digital Asset Examination Support

Contract Overview

Contract Amount: $4,205,582 ($4.2M)

Contractor: Dynamic-Pro Inc.

Awarding Agency: Department of the Treasury

Start Date: 2025-08-13

End Date: 2026-06-12

Contract Duration: 303 days

Daily Burn Rate: $13.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THE CONTRACTOR SHALL PROVIDE SUPPORT FOR EXAMINATION CASE SUPPORT FOR UP TO 25 TAXPAYER DIGITAL ASSET EXAMINATION CASES OUTSTANDING (WITHIN THE BASE PERIOD) IN ACCORDANCE WITH THE PERFORMANCE WORK STATEMENT

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042

State: Virginia Government Spending

Plain-Language Summary

Department of the Treasury obligated $4.2 million to DYNAMIC-PRO INC. for work described as: THE CONTRACTOR SHALL PROVIDE SUPPORT FOR EXAMINATION CASE SUPPORT FOR UP TO 25 TAXPAYER DIGITAL ASSET EXAMINATION CASES OUTSTANDING (WITHIN THE BASE PERIOD) IN ACCORDANCE WITH THE PERFORMANCE WORK STATEMENT Key points: 1. Contract focuses on supporting up to 25 taxpayer digital asset examination cases. 2. Dynamic-Pro Inc. secured the $4.2M contract for administrative management consulting. 3. The contract duration is 303 days, ending June 12, 2026. 4. This award falls under the Administrative Management and General Management Consulting Services NAICS code. 5. The contract type is Firm Fixed Price, indicating a set cost for services.

Value Assessment

Rating: fair

The contract value of $4.2M for supporting up to 25 cases seems reasonable given the specialized nature of digital asset examinations. Benchmarking against similar consulting contracts for complex investigations would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: Taxpayer funds are being used for specialized support in digital asset examinations, aiming to improve IRS enforcement capabilities.

Public Impact

Enhances IRS's capacity to investigate complex digital asset cases. Potential for increased tax revenue through thorough examination of digital assets. Ensures compliance with tax laws in the evolving digital economy. Supports the government's efforts to combat tax evasion involving cryptocurrencies and other digital assets.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Scope may be limited if only 25 cases are supported.
Reliance on a single contractor for specialized support.
Effectiveness depends on the contractor's expertise in digital asset forensics.

Positive Signals

Awarded through full and open competition.
Firm Fixed Price contract provides cost certainty.
Supports a critical and growing area of tax enforcement.

Sector Analysis

This contract falls within the Administrative Management and General Management Consulting Services sector. Spending in this sector often supports government agencies in areas requiring specialized expertise and operational efficiency.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, small businesses were likely not the primary focus of this specific procurement.

Oversight & Accountability

The contract is a Delivery Order under a larger agreement, suggesting it may be part of a broader framework. Oversight will be crucial to ensure the contractor meets performance requirements and delivers value for taxpayer money.

Related Government Programs

Administrative Management and General Management Consulting Services
Department of the Treasury Contracting
Internal Revenue Service Programs

Risk Flags

Contract duration is relatively short (303 days).
Limited number of cases (up to 25) may indicate a niche or pilot program.
Dependence on contractor's specialized knowledge.
Potential for scope creep if case complexity exceeds initial estimates.
Need for robust government oversight to ensure quality and compliance.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $4.2 million to DYNAMIC-PRO INC.. THE CONTRACTOR SHALL PROVIDE SUPPORT FOR EXAMINATION CASE SUPPORT FOR UP TO 25 TAXPAYER DIGITAL ASSET EXAMINATION CASES OUTSTANDING (WITHIN THE BASE PERIOD) IN ACCORDANCE WITH THE PERFORMANCE WORK STATEMENT

Who is the contractor on this award?

The obligated recipient is DYNAMIC-PRO INC..

Which agency awarded this contract?

Awarding agency: Department of the Treasury (Internal Revenue Service).

What is the total obligated amount?

The obligated amount is $4.2 million.

What is the period of performance?

Start: 2025-08-13. End: 2026-06-12.

What is the IRS's definition of a 'digital asset examination case' and what specific expertise is required?

The IRS defines a 'digital asset examination case' as an investigation involving assets held or transacted using digital technologies, such as cryptocurrencies, non-fungible tokens (NFTs), or other blockchain-based assets. Required expertise typically includes digital forensics, blockchain analysis, cryptocurrency tracing, understanding of relevant tax codes, and secure data handling protocols to ensure the integrity of evidence.

How will the IRS measure the success and effectiveness of Dynamic-Pro Inc.'s support in these examinations?

Success will likely be measured by the contractor's ability to provide timely and accurate support, contributing to the thoroughness and efficiency of the examination process. Key performance indicators may include case closure rates, quality of investigative reports, adherence to deadlines, and the successful identification and documentation of relevant digital assets and transactions, ultimately supporting IRS enforcement actions.

What are the potential risks associated with relying on a single contractor for this specialized support?

Risks include potential over-reliance, lack of alternative solutions if performance issues arise, and limited leverage in price negotiations for future support. If the contractor's expertise becomes outdated or their performance falters, it could significantly impede the IRS's digital asset examination capabilities, potentially leading to case delays or compromised investigations.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 11502 HENEGAN PL, SPOTSYLVANIA, VA, 22551

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $5,607,442

Exercised Options: $4,205,582

Current Obligation: $4,205,582

Actual Outlays: $2,338,303

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS10F0329X

IDV Type: FSS

Timeline