IRS 2026 Paper Filing Processing Crisis
Key Questions
Why are paper-filed tax returns facing longer processing times in 2026?
Executive Order 14247 is pushing direct deposit, while stalled system upgrades have created backlogs for mailed returns. Approximately 20% of filers without direct deposit on file are affected.
How long will refunds take for paper returns without direct deposit?
Taxpayers can expect waits of six weeks or more due to the shift away from paper checks. Around 830,000 returns are currently facing these extended delays.
What is the risk of a larger IRS processing backlog this year?
Staffing strains combined with the paper-filing volume could push the backlog beyond 10.5 million returns. Mailed submissions without direct deposit are most at risk of prolonged waits.
EO 14247 DD push and stalled upgrades causing long refund waits for mailed returns and ~20% without DD on file; 830k facing 6-week delays and 10.5M+ backlog risk amid staffing strains.