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People exit the the U.S. Internal Revenue Service (IRS) building in Washington, D.C., on Feb. 20, 2025.<\/p>\n
Kent Nishimura | Reuters<\/p>\n<\/div>\n<\/div>\n<\/div>\n
House lawmakers this week could vote to approve a smaller IRS budget<\/a> for the current fiscal year as Congress races to avoid another government shutdown<\/a>. While the funding is higher than earlier proposals<\/a>, the cuts may still create challenges for the agency, experts say.\u00a0\u00a0<\/p>\n The appropriations agreement<\/a> would allocate $11.2 billion for the IRS for the remainder of the 2026 fiscal year, which is about 9% lower than the agency’s 2025 budget of $12.3 billion. The bill “restrains the IRS, while investing in taxpayer services,” Republican lawmakers said in a summary<\/a>.\u00a0<\/p>\n The House could vote on the bill Wednesday. If approved, the measure would provide $3 billion for taxpayer service, an increase of about $256 million from fiscal year 2025, and roughly $5 billion for enforcement, a reduction of $439 million, according to a joint statement<\/a> from both chambers of Congress.<\/p>\n<\/div>\n