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Kiplinger
Kiplinger
Business
Gabriella Cruz-Martínez

IRS in Turmoil: GOP Budget Cuts and Staff Shake-Ups Threaten Taxpayer Services

Image of IRS sign with red traffic light in the foreground.

A spending bill is moving forward among Republicans in the U.S. House of Representatives that could significantly cut IRS funding, jeopardizing your taxpayer experience during the 2026 filing season.

The proposed measure, which is now moving to a House vote, would reduce the IRS budget by billions of dollars. In particular, key funding for Taxpayer Services, which is responsible for processing tax returns, answering taxpayer questions, and delivering tax refunds and correspondence, is at risk of being gutted further.

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