The Internal Revenue Service (IRS) has been actively implementing new programs and services throughout 2026, aiming to enhance taxpayer support and strengthen the integrity of the tax system. From educational initiatives to fraud prevention, the IRS is focusing on a wide range of areas to better serve the American public.
In recent months, the IRS has rolled out several key updates, including the expansion of the Federal Scholarship Tax Credit (FSTC) program, the introduction of new fraud protection measures, and the release of tools to assist businesses with complex financial calculations. These initiatives reflect the agency’s commitment to improving tax administration and providing valuable resources to taxpayers.
The expansion of the Federal Scholarship Tax Credit program
One of the most significant developments in 2026 has been the expansion of the Federal Scholarship Tax Credit (FSTC) program. As of June 8, 2026, 27 states have opted into this program, which allows eligible taxpayers to claim a federal tax credit for contributions to Scholarship Granting Organizations (SGOs). These organizations provide scholarships for qualified elementary and secondary education expenses, making education more accessible for families across the country.
The FSTC program is part of the broader One, Big, Beautiful Billa legislative package aimed at enhancing educational opportunities and supporting families. By participating in this program, states are empowering taxpayers to directly contribute to the education of students in their communities while receiving a tax benefit in return.
Strengthening fraud protection and information sharing
In response to the growing threat of tax-related fraud, the IRS and its Security Summit partners have announced a restructured public-private partnership. This initiative is designed to bolster protections and enhance information sharing across the tax system. The new framework aims to safeguard taxpayers and tax revenue from fraudulent activities, ensuring a more secure tax filing process for all.
The IRS has also released a comprehensive 2026 Data Bookdetailing the agency’s activities during the fiscal year 2026. This report provides valuable insights into the IRS’s operations, including the number of tax returns processed, the amount of revenue collected, and the various programs and services offered to taxpayers. The Data Book serves as a transparent overview of the IRS’s efforts to serve the public effectively.
New tools and resources for businesses and individuals
To support businesses and individuals navigating complex tax situations, the IRS has introduced several new tools and resources. For instance, the agency has released a new look-back interest calculator to help businesses working on large, multi-year construction or manufacturing projects. This calculator simplifies the process of calculating interest related to these contracts, providing businesses with a valuable resource for financial planning.
Additionally, the IRS has announced the availability of Trump Account elections through IRS Individual Accounts. This feature allows taxpayers to view and submit elections for these tax-advantaged accounts, making it easier to invest in and manage their financial futures. The IRS continues to explore new ways to leverage technology and streamline processes to better serve taxpayers.
The IRS has also taken steps to support eligible taxpayers involved in conservation easement disputes. On May 13, 2026, the agency announced the terms of a time-limited settlement opportunity for taxpayers engaged in these disputes. This initiative aims to resolve conflicts efficiently and fairly, providing a pathway to resolution for those involved.
Supporting small businesses and low-income taxpayers
Recognizing the importance of small businesses, the IRS has announced a series of resources and events to support entrepreneurs during National Small Business Weekwhich ran through May 9, 2026. These resources include educational materials, webinars, and workshops designed to help small business owners understand their tax obligations and take advantage of available benefits.
Furthermore, the IRS has launched the Low Income Taxpayer Clinic (LITC) Program, accepting applications for matching grants from qualified organizations. This program provides critical support to low-income taxpayers, ensuring they have access to professional tax assistance and representation. The LITC Program plays a vital role in promoting tax fairness and assisting those who may otherwise struggle to navigate the tax system.
The IRS is also accepting applications for the Tax Counseling for the Elderly (TCE) and Volunteer Income Tax Assistance (VITA) program grants. These programs offer free tax preparation services to elderly and low-to-moderate-income taxpayers, respectively. By supporting these initiatives, the IRS demonstrates its commitment to serving all segments of the population, regardless of income level or age.
As the IRS continues to evolve and adapt to the changing needs of taxpayers, it remains dedicated to providing efficient, effective, and equitable tax administration. Through its various programs, tools, and initiatives, the agency strives to support Americans in fulfilling their tax obligations while promoting financial well-being and education.
