In brief
The 2026 tax filing season has commenced, but the National Taxpayer Advocate Erin M. Collins has highlighted significant challenges stemming from a 27% workforce reduction at the IRS since the previous year. With new tax law changes and a lack of experienced staff, the IRS's ability to assist taxpayers is in question. While most taxpayers are expected to file without delays, the real test lies in how effectively the agency manages issues arising during the season.
WASHINGTON (AP) — The national taxpayer advocate is cautioning that the 2026 tax filing season is likely to present challenges for taxpayers who encounter problems with filing their taxes given the exodus of IRS workers since the start of the Trump administration.
National Taxpayer Advocate Erin M. Collins released her annual report to Congress on Wednesday, two days after the start of the 2026 season. She finds that while the IRS was able to process returns in 2025 without major disruptions, “entering 2026, the landscape is markedly different.”
“The IRS is simultaneously confronting a reduction of 27% of its workforce, leadership turnover, and the implementation of extensive and complex tax law changes” mandated by Republicans’ tax and spending measure that President Donald Trump signed into law last summer, Collins said in her report.
Collins stated that while most taxpayers should be able to submit their returns and obtain refunds without delays, the “success of the filing season will be defined by how well the IRS is able to assist the millions of taxpayers who experience problems.”
The tax filing season began on Monday, and agency leaders, including Treasury Secretary Scott Bessent and IRS CEO Frank Bisignano, have expressed optimism for a smooth season.
Bisignano announced a new reorganization of IRS executive leadership, stating confidence that the agency is prepared for a successful tax season.
Bessent and others in Trump’s administration have promised American taxpayers “substantial tax refunds” as part of ongoing efforts to combat the affordability crisis.
Despite this, significant concerns have been raised at the start of the 2026 tax season. Diana M. Tengesdal, deputy inspector general for audit at the Treasury Inspector General for Tax Administration, pointed out that IRS staffing levels have reached figures last seen in October 2021, which, coupled with unprocessed tax returns, poses a challenge.
The IRS began 2025 with around 102,000 employees but ended with about 74,000 due to a series of layoffs and firings. Tengesdal’s office has warned that efforts to modernize tax administration may not compensate for staffing losses during this filing season.
Over 165 million individual income tax returns were processed in 2025, with 94% submitted electronically. The average refund was reported at $3,167, showcasing the importance of effective IRS operation as more taxpayers rely on e-filing.
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