The Electronic Tax Administration Advisory Committee (ETAC) released its 2026 Annual Report on June 17, 2026, presenting a comprehensive set of 18 recommendations aimed at modernizing IRS operations, strengthening cybersecurity, and improving taxpayer experience. Of these recommendations, six are directed specifically to Congress, seeking legislative authority and funding to support key initiatives. Central among the proposals are upgrades to the IRS’s digital filing infrastructure, expansion of the use of artificial intelligence for fraud detection, and enhancements to the Electronic Filing System (EFS) to reduce processing latency. The report also calls for increased investment in taxpayer identity verification technologies, such as multi‑factor authentication and biometric controls, to combat identity theft and fraud. Additionally, ETAC recommends the creation of a permanent, cross‑agency data‑sharing framework to facilitate real‑time coordination among federal and state tax authorities. Other priority items include streamlining the tax credit claim process, particularly for education‑related credits, and modernizing the audit selection methodology to ensure greater transparency and fairness. By outlining these targeted recommendations, ETAC seeks to position the IRS to meet emerging technological challenges, uphold public confidence, and deliver more efficient and secure tax administration for all stakeholders.