She said that, halfway through the year, there were concerns that the IRS had not yet undertaken key preparation steps, including hiring and training seasonal and permanent employees.
Donald Trump's budget bill could complicate 2026 tax filing season after IRS cuts, watchdog warns
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Collins said in the report that she believes some of the law's funding that was provided for enforcement should be redirected to improving taxpayer services "to enable the IRS to make the changes necessary to transform the taxpayer experience and modernize its IT systems in the next few years.”
IRS' backlogs and identity theft problems remain, but there is 'cautious optimism' watchdog says
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