Mar 1, 2026
The 2026 tax season is in full swing, and several changes to the tax code could lead to larger returns for some Americans.
And while those bigger refunds can make it tempting to file early, tax experts warn that incomplete filings can delay the processing of your refund or even trigger an audit (1).
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According to Elizabeth Young, director of tax practice and ethics for the American Institute of Certified Public Accountants, the IRS uses “very sophisticated software” that compares information that employers and financial companies report with what’s in your filing. Any mismatches between what you provide and what third parties report could flag your return for audit.
The 2026 filing season also brings some of the biggest changes in years, thanks to the One Big Beautiful Bill Act. Garrett Watson, director of policy analysis at the Tax Foundation, estimates those changes will result in an average tax cut of about $610, bringing the average refund up from $3,050 in 2024 to roughly $3,800 in 2025 (2).
With potentially more money on the line, it’s likely worth slowing down to make sure your filing is complete and accurate before it’s submitted.
Why this shift matters for Americans
For many households, a tax refund could be one of the largest single payments they’ll receive all year. This money can go toward paying down credit card balances, covering rent, building an emergency fund or catching up on medical bills. But filing too early, especially before all tax documents arrive, can backfire.
Early filing tends to work best for workers with simple, salary-based income and no major life changes. If you receive only a W-2 and claim the standard deduction, you may be able to file as soon as you have that one form in hand.
However, taxpayers with investment income, side gigs, freelance work or pass-through business income often receive multiple forms, and those statements don’t always arrive in January (1). If you file without including all of your applicable forms, the IRS’s automated matching system may catch a discrepancy, which could lead to a delayed refund, a notice requesting more information or in some cases, a formal audit.
Furthermore, the audit risk may be heightened this year because of major tax law changes, which could increase confusion for taxpayers unfamiliar with the new deductions or credits (2).
There are also administrative challenges. An IRS watchdog previously warned that some taxpayers could see “greater challenges” during the 2026 filing season amid a 27% workforce reduction that’s led to fewer customer service representatives (3). That could mean longer wait times if you need help resolving an issue.
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How to limit your risk of an audit
While there is no guaranteed way to avoid an IRS audit, there are steps you can take to limit your risk.
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“We don’t know all the things that make an IRS audit happen,” April Walker, senior manager for tax practice and ethics with the American Institute of Certified Public Accountants, shared with CNBC (4). “But one of the best ways to avoid that is to make sure that you are fully and completely reporting everything.”
Here are a few other tips to ensure this tax season goes smoothly.
Wait for all your forms
Before filing, confirm you’ve received every required tax document. This could include (1):
- Form W-2 from each employer
- Form 1099 for freelance, gig or investment income
- Form 1099-DA for digital asset transactions
- Form 1098-VLI for certain car loan interests
- Mortgage interest statements (Form 1098) and other deduction-related forms
If you’re claiming new deductions, such as those related to tips or overtime income, double-check whether your employer reported those figures on your W-2. If not, you may need to calculate qualified income very carefully.
Use your prior-year return as a checklist
Last year’s return can be one of the best organizational tools you have. Compare line by line to see what income sources, credits or deductions you claimed last year. If you had interest income, dividends or side gig earnings last year, ask yourself whether those sources still apply and whether you’ve received the corresponding forms.
Remember, investment statements are often the last to arrive, and filing before they’re issued increases the chance you’ll have to amend your return later and could result in an audit.
Take advantage of electronic tools
The IRS continues to encourage electronic filing with direct deposit, which is generally the fastest way to receive a refund. The agency is also phasing out paper checks in favor of electronic payments in many cases (5).
Setting up an IRS online account can help you track your refund status, access past tax records and see notices quickly. The IRS also offers free filing options for eligible taxpayers, which can reduce errors compared to manual paper filings.
Double-check before you submit
Finally, review your tax filing carefully. Confirm Social Security numbers, bank routing details and income figures. Simple data-entry errors, like transposed numbers, can delay processing.
Filing early can help you access refunds quicker, but make sure you have all of your paperwork beforehand. In a year with bigger refunds and major tax changes, taking a little extra time could help you avoid delays, stress and unwanted scrutiny from the IRS.
Article sources
We rely only on vetted sources and credible third-party reporting. For details, see our editorial ethics and guidelines.
CNBC (1, 3, 4); KOMO News (2); IRS (5).
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Danielle is a personal finance writer based in Ohio. Her work has appeared in numerous publications including Motley Fool and Business Insider. She believes financial literacy key to helping people build a life they love.
