Sponsors (2)
The bill speeds up information reporting to help the IRS and taxpayers prepare more accurate returns earlier, at the cost of shifting operational strain and compliance risk onto businesses and payers which could increase errors and taxpayer notices during filing season.
Taxpayers and the IRS receive information returns earlier (deadline moved to Jan 31), letting the IRS detect errors sooner and taxpayers prepare and file more accurate returns earlier in the season.
Investors, payees of interest/dividends and certain nonemployee payees, and people with gambling withholding get timelier reporting so they can reconcile income and withholding sooner for their tax filings.
Small businesses, payroll processors, and financial institutions must accelerate year-end workflows to meet the earlier Jan 31 electronic-filing deadline, increasing administrative burdens and compliance costs.
Payers that rely on year-end data reconciliation (e.g., payroll processors, retirement account reporters, hospitals) face higher risk of incomplete data, leading to more errors or the need for amended filings.
Taxpayers may see increased mismatches or hurried IRS notices if recipient records and IRS systems are not synchronized with the earlier deadline, causing confusion and potential filing delays or disputes.
Based on analysis of 2 sections of legislative text.
Shifts due date for many electronically filed information returns from March 31 to January 31 for calendar years after 2027.
Official title: Amend the Internal Revenue Code of 1986 to modify the time for filing certain information returns.
Introduced July 27, 2026 by Margaret Wood Hassan · Last progress July 27, 2026
Requires many electronically filed IRS information returns that currently are due March 31 to be filed by January 31 of the year after the calendar year to which they relate, moving the due date earlier to help prevent tax fraud and identity theft. The change applies to returns for calendar years after December 31, 2027 (effective for tax year 2028 filings). Specifically, the bill moves electronically filed returns under several reporting sections (including most payments reported under sections 6041, 6042, 6047(d), 6049, 6050F, 6050W, certain gambler-withholding returns, and adds an insertion point for IRA reporting) to a January 31 deadline, aligning them with existing early deadlines for other payee statements to assist tax administration and identity-theft prevention.