The IRS Is Getting More Powerful in 2026

by | Dec 4, 2025

The IRS has entered a new era — one powered by artificial intelligence, automated enforcement, and advanced digital tools that allow the agency to track, identify, and pursue taxpayers faster than ever before. According to the latest TIGTA report, the IRS is aggressively moving toward a system where no taxpayer slips through the cracks.

If you’ve been ignoring IRS notices, haven’t filed in years, or are worried about what the IRS might do, the window for “flying under the radar” is closing fast.

At TaxWorx, LLC, we’re already helping clients right here in Fort Worth get ahead of these changes. In this article, we’ll explain how the IRS is evolving, what it means for taxpayers with problems, and why waiting in 2026 could be the most costly mistake yet.

AI Is Changing IRS Enforcement — And It’s Harder Than Ever to Hide

As of April 2025, the IRS reported over 100 AI-driven projects underway. These new tools are far more powerful than the outdated systems of the past and allow the IRS to:

  • Detect filing inconsistencies

  • Trace patterns in income, deposits, and financial activity

  • Flag unfiled returns and unpaid balances

  • Prioritize enforcement on taxpayers with higher collection potential

  • Spot behavior that suggests avoidance or noncompliance

This is no longer about guesswork. It’s about data — your data.

AI-Powered Audit Selection = Smarter, Sharper Enforcement

The IRS is using machine learning and predictive analytics to choose which returns to audit. That means:

  • Fewer false alarms

  • More targeted enforcement

  • A greater chance that if your return is flagged, they already know there’s an issue

  • Higher risk for those with unfiled returns, unpaid taxes, or hidden income

If you’ve been hoping the IRS wouldn’t notice you, 2026 will not be your friend.

“I’ll Deal With It Later” Is a Risk You Can’t Afford in 2026

For years, taxpayers have told themselves:

  • “I’m too small for the IRS to bother with.”

  • “They’re too backed up to find me.”

  • “They don’t know about my side income.”

  • “Maybe if I ignore the letters, it’ll go away.”

That era is over.

With AI scanning returns, automated systems issuing notices, and enforcement becoming more efficient, the IRS is better equipped than ever to catch up with taxpayers who:

  • Haven’t filed in years

  • Owe back taxes

  • Have ignored notices

  • Have unreported income

Avoiding the IRS won’t make your tax problems disappear. It only makes the consequences worse — and faster.

How TaxWorx, LLC Can Protect You Before the IRS Takes Action

At TaxWorx, LLC, based in Fort Worth, Texas, we specialize in helping individuals and businesses solve IRS problems before they lead to levies, liens, garnishments, or asset seizures.

Michael D. Dunlap, CPA, the founder of TaxWorx, has been a Texas CPA since 1987. With decades of experience in public accounting and a deep focus on IRS representation, Mike knows how to navigate the IRS’s new systems — and how to protect your financial future.

We can help you:

✔ Stop collections before they hit your paycheck or bank account
✔ Negotiate a resolution or payment plan that fits your situation
✔ Address unfiled returns and prevent new enforcement
✔ Speak to the IRS on your behalf — so you don’t have to
✔ Resolve your tax issues before the IRS’s automation does it for you

The IRS Is Getting Smarter — So Should Your Strategy

If you’re feeling worried, stressed, or overwhelmed by your IRS situation — that’s your sign to act. You’re not alone, and you don’t have to face this alone.

TaxWorx helps taxpayers every day who once felt stuck, embarrassed, or afraid of what might happen. Our clients come to us from all walks of life, and we treat each case with the professionalism, confidentiality, and care it deserves.

The IRS is upgrading. Make sure you’re not caught off guard.

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