The IRS says it set records for both tax revenue collected and refunds delivered in fiscal year 2026.
According to the agency, the IRS collected a record-setting $5.6 trillion in taxes, an increase of nearly 5% from the previous year.
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The agency added that the overall tax rate fell to 12.6%, a decrease of 4% from 2025.
“Under the leadership of President Donald J. Trump, the IRS delivered to America’s working families historic refunds due to the tax cuts enacted in the Working Families Tax Cuts, which represent the cornerstone of the administration’s economic agenda,” said IRS Chief Executive Officer Frank J. Bisignano. “With our dedicated workforce, we delivered a successful tax filing season and continue to transform the IRS into a Digital-First agency that provides the best possible experience for taxpayers, improves collections, and safeguards privacy.”
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The IRS says the amount of refunds claimed increased by 17% over last year, while the average refund increased by 11%.
In July, the agency announced that eligible taxpayers will have certain penalties automatically waived on their returns. The new program, Automatic Exemption from Penalty (AEP), replaces the first time abate process which typically requires taxpayers to request relief.
