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The Internal Revenue Service (IRS) announced it will begin accepting and processing 2025 tax returns on Monday, January 26, 2026. Taxpayers must file their federal returns by April 15, 2026, to avoid penalties and interest. The IRS expects to receive about 164 million individual income tax returns this year, with most filed electronically.
Several new tax law provisions from the One, Big, Beautiful Bill will impact federal taxes, credits, and deductions. These changes could potentially lower tax bills and increase refund amounts. Acting IRS Commissioner Scott Bessent stated, "President Trump is committed to the taxpayers of this country and improving upon the successful tax filing season in 2025." The IRS has updated its information systems to incorporate these new laws, ensuring efficient processing of returns.
Taxpayers are encouraged to utilize IRS online tools and resources before, during, and after filing. The IRS also recommends opening a bank account for direct deposit refunds, as paper checks are being phased out due to the executive order, Modernizing Payments To and From America’s Bank Account.
Despite these preparations, the IRS faces challenges due to a reduced workforce. The IRS workforce has decreased by 26% since the end of the Biden administration, raising concerns about potential disruptions during the filing season. Erin M. Collins, who leads the organization protecting taxpayers' rights, warned of risks to the 2026 filing season due to these reductions and significant tax law changes.