This research report examines the current use in secondary schools of the Internal Revenue Service's (IRS) nine-chapter booklet, "Understanding Taxes," and the complementary six program videos, "Tax Whys," and offers suggestions for updating the video programs. The review begins with telephone interviews of the IRS Taxpayer Education Coordinators and Joint Council of Economic Education Center Directors to establish their roles in the promotion of the videos, their comments on the programs, and their suggestions for new programs. The needs assessment also included two field studies conducted in San Francisco (California) and North Carolina to determine the extent of secondary school use of the booklet and the videos. The findings indicate a wider use of the booklet than the videos in the classroom. The final conclusions are that the booklet and video programs need to be promoted as complementary and that the teacher's guide should incorporate both materials. Suggested topics for the new video programs include how to complete tax forms, where does tax money go, how tax legislation is created, the history of taxation, the relationship of taxation and fiscal policy, and the taxation systems of different countries. Appendices contain: (1) the telephone interview questionnaire; (2) North Carolina Curriculum Guide (Taxpayer Education Selection); (3) Tax Profile from "Tax Whys" Teacher's Guide; and (4) percentage breakdown of all survey items. (DJC)