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Our newest report provides interim information on selected aspects of the IRS's 2026 Filing Season, based on data available through February 28, 2026. The audit also evaluated the IRS's processing of individual income tax returns during the 2026 Filing Season.
What did we find?
As of February 28, 2026, the IRS had received approximately 51.5 million individual income tax returns and processed 50.9 million returns. Electronic filing remained the preferred filing method, with 99 percent of returns filed electronically. The IRS also issued 36.5 million refunds, with an average refund o $3,742, an increase of $360 from the previous year.
The Submission Processing and Accounts Management functions did not meet their hiring goals for the 2026 Filing Season. As of February 27, 2026, Submission processing filled 42 percent of its approved positions, while Accounts Management had filled 66 percent. To help address staffing shortages, the IRS temporarily reassigned employees from other functions to process amended tax returns.
The IRS also continued modernization efforts, including the Zero Paper Initiative and amended tax return automation. As of February 28, 2026, contractors had scanned more than 76,000 paper-filed individual tax returns. By March 27, 2026, the IRS had systematically processed and adjusted more than 36,000 amended returns.
Despite these efforts, inventory levels increased. Inventory in key tax return processing programs grew from 1.9 million returns at the start of the 2026 Filing Season to 2.4 million as of February 28, 2026. According to Taxpayer Services management, staffing shortages were not the only cause. Paper tax return inventories also increased because the programming needed to process those returns was not completed until mid-February 2026.
As of February 28, 2026, IRS assistors answered 3.2 million calls, with a 73 percent Assistor Service Rate and an 8.2-minute Average Speed of Answer. The Assistor Service Rate is a new measure for the 2026 Filing Season. It is similar to the prior measure, except that it also includes contacts answered through Live Chat.
The IRS also continued efforts to detect and prevent fraudulent refunds resulting from identity theft. As of February 26, 2026, the IRS identified approximately 19,000 identity theft tax returns, preventing the issuance of $135, 000 in fraudulent refunds. The IRS also continued proactively protecting taxpayers by issuing Identity Protection Personal Identification Numbers (IP PINs).
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