Tax Update – January 2026
The IRS National Public Liaison (NPL) meeting held on December 11, 2025, provided year-end updates to stakeholder organizations and to outline current priorities and operational developments at the IRS as we move into the 2026 filing season.
Several upcoming advisory and stakeholder activities were noted, including early-January meetings of national tax practitioner advisory groups and the presentation of a 2025 annual report to IRS leadership. The IRS is also in the process of finalizing dates for the 2026 Nationwide Tax Forums, which will be announced once confirmed.
During the open forum, prior practitioner concerns were revisited. These included issues related to erroneous estimated tax penalties—particularly affecting certain fiduciary and corporate filers—which have largely been resolved through abatements. Other topics included the handling of Direct Pay estimated tax payments for business filers and possible enhancements to IRS communications with tax professionals in 2026. The IRS also highlighted upcoming educational outreach, including a December webinar focused on Circular 230 and tax practice standards, as well as a January webinar addressing the adoption credit.
Outreach priorities discussed at the meeting included data breach trends, tax schemes, disaster assistance, payment options, and the continued expansion of online tools. Of particular note was a significant increase in reported data breaches affecting firms, tax professionals, and taxpayers, with filing season and October identified as peak risk periods. The IRS emphasized the importance of continued vigilance and proactive security practices. Operationally, current CAF unit turnaround times are running approximately three to four days; however, the IRS cautioned that the upcoming filing season may present additional challenges due to recent workforce reductions.
The next IRS National Public Liaison meeting is scheduled for January 15, 2026. We will continue to monitor developments and share relevant updates with our members as they become available. As always, NCCPAP remains committed to keeping small and mid-size practitioners informed and prepared.
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