Summary
The IRS delivered a smoother-than-expected 2026 tax filing season despite cutting its workforce from about 102,000 to 74,000 employees, according to the National Taxpayer Advocate. Technology upgrades and expanded automation helped the agency process returns and issue refunds without major delays for most taxpayers, especially those filing electronically with direct deposit. However, customer service deteriorated sharply, with fewer callers reaching IRS representatives and identity theft victims facing waits of nearly 20 months for case resolution. The report said more than 500,000 identity theft cases remain backlogged, highlighting persistent service gaps despite the agency’s overall success in handling routine tax filings.
ABC News
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