The IRS opened the 2026 filing season on Jan. 26 and began accepting individual federal income tax returns for the 2025 tax year. The agency expects about 164 million returns before the Apr. 15 deadline, while managing operational challenges from staffing reductions, budget cuts, and a shortened timeline for recent tax law changes.

“As America celebrates its 250th anniversary, the IRS and its employees are excited to once again serve American taxpayers in meeting their tax filing obligations during the 2026 filing season,” said IRS Chief Executive Officer Frank J. Bisignano. He also noted the 40th anniversary of electronic filing and emphasized the agency’s continued push for e-file and direct deposit to expedite processing and refunds.

According to Accounting Today, this filing season is the first full cycle under the One Big Beautiful Bill Act, which introduced new deductions for overtime, tips, seniors, and other targeted groups. The IRS expects most refunds to be issued within 21 days. However, refunds for returns claiming the Earned Income Tax Credit or Additional Child Tax Credit should be available by early March for those using direct deposit.

The agency is operating with a workforce reduced by more than 25% and faces potential further funding cuts or a government shutdown. Despite these challenges, IRS leadership and employee representatives have emphasized their commitment to maintaining service levels during what may be one of the most complex filing seasons in recent years.