IRS tax refund delays warning: staffing crunch and paper-check phaseout collide in 2026 season
The IRS entered the 2026 tax season down about 19,000 workers and with 2 million items in key processing backlogs, a Treasury watchdog reported. New rules will end most paper refund checks after September 2025, meaning missing bank details could delay refunds for weeks. The IRS has filled just 50 of 2,200 approved new positions in a critical processing role.