

As the 2026 filing season begins, the Internal Revenue Service is urging taxpayers to rely on IRS online tools for routine tax tasks as staffing reductions reshape how the agency delivers service. IRS releases and federal oversight reports show a growing shift toward digital self-service for filing, refunds, and account access.
The IRS said it expects about 164 million individual tax returns for tax year 2025 and is again emphasizing electronic filing and online services as the fastest way to complete tax-related tasks. In its filing season opening announcement, the agency directed taxpayers to IRS.gov for preparation, filing, and post-filing needs.
The IRS repeated that filing electronically and choosing direct deposit remain the quickest ways to process returns and receive refunds. The agency also highlighted online tools for tracking refunds, managing payments, and accessing tax records without waiting for live assistance.
According to the IRS, digital services allow taxpayers to complete common tasks at any time, helping reduce congestion on phone lines and in taxpayer assistance centers during peak filing periods.
Federal oversight agencies have linked the IRS’s digital push to staffing constraints. In its fiscal year 2026 Major Management Challenges memo, the Treasury Inspector General for Tax Administration said that workforce reductions may mean taxpayers increasingly need to rely on IRS self-service tools.
TIGTA reported continued growth in the use of IRS online accounts, citing more than 51 million users in the processing year reviewed. The watchdog said automation helps manage routine work but noted that skilled employees are still required for fraud prevention, system updates, and complex tax law issues.
As staffing levels fall, TIGTA said directing routine interactions to online systems helps preserve limited employee resources for cases that cannot be resolved automatically.
The IRS has increasingly positioned the Individual Online Account as a primary service channel. Through an online account, taxpayers can check refund status, view notices, obtain transcripts, make or cancel payments, and manage certain authorizations.
In early February, the IRS encouraged all taxpayers to create an online account, citing convenience, security, and protection against identity theft. The agency said digital access reduces delays associated with mail and phone requests and allows taxpayers to manage their accounts year-round.
While most taxpayers may benefit from online processing, the National Taxpayer Advocate has warned that staffing reductions could affect those who need individual assistance.
In its annual report to Congress, the Advocate said the IRS entered 2026 with roughly a 27 percent workforce reduction, leadership turnover, and major tax law changes requiring programming and guidance.
The report said most taxpayers who file electronically, use direct deposit, and clear automated checks should experience smooth processing. However, it warned that taxpayers whose returns are flagged for review or require casework may face longer resolution times due to staffing limitations.
The IRS has consistently urged taxpayers to use online tools rather than call for information available on IRS.gov. Prior filing season releases have highlighted tools such as Where’s My Refund?, the Interactive Tax Assistant, and online accounts as faster alternatives to phone assistance.
The digital shift also aligns with payment modernization efforts. The IRS said it began phasing out paper tax refund checks in late 2025, directing taxpayers toward direct deposit and electronic refund tracking.
For taxpayers with straightforward returns, the IRS says its online tools are designed to speed filing and refunds. Electronic filing and direct deposit remain the agency’s preferred options.
Taxpayers who need information such as refund status, notices, or transcripts are likely to get faster answers online. Those who encounter errors or complex issues may need to plan for longer resolution times as staffing pressures continue.
By William Mc Lee, Editor-in-Chief & Tax Expert—Get Tax Relief Now