A report from the Treasury Inspector General for Tax Administration (TIGTA) found that the Internal Revenue Service (IRS) missed hiring targets for the 2026 tax filing season. The agency was authorized to hire 1,900 employees to process tax returns and correct errors but failed to fill 1,100 of those positions. Additionally, the division responsible for taxpayer inquiries missed its hiring goal by 34%.
The TIGTA report attributed the vacancies to onboarding delays and a requirement for the IRS to obtain Treasury Department approval before making certain hires. To address the labor shortage, the agency utilized overtime and temporarily reassigned hundreds of staff members from information technology and human resources departments to assist with tax processing during the season.
The watchdog noted that these staffing gaps led to increased backlogs in five out of seven tax return processing programs. While the Taxpayer Advocate Service (TAS) separately reported that the agency performed better than expected under the "One Big Beautiful Bill Act," both watchdogs agreed that the reduced workforce made it more difficult for taxpayers to access assistance. Filing season performance was reviewed from January 26 through February 28.