Compliance
Compliance Essentials: Major IRS Policy Changes Affecting Businesses in Summer 2026
From the Saver’s Match proposal to expanded Business Tax Account features, recent IRS policies are reshaping business compliance obligations—know what has changed.
By NomadicTax Research Team • 5-8 min read • August 20, 2026
## What’s New for Businesses
The IRS and Treasury have rolled out several policy updates and proposals with immediate compliance impact. Among the most critical are:
- **Business Tax Account (BTA) enhancements** – as of Summer 2026, eligible businesses can access a growing library of digital IRS notices, download EIN verification notices (Notice CP575), submit Offer in Compromise payments online, view payment history, schedule and cancel payments, and more. ([irs.gov](https://www.irs.gov/newsroom/summer-2026-expanded-features-for-business-tax-account?utm_source=openai))
- **Saver’s Match proposed regulations** – the Treasury and IRS issued Notice 2026-48 (August 7, 2026), intending to propose regulations for the new federal Saver’s Match program starting in 2027. Businesses sponsoring retirement plans will need to prepare for compliance changes under these rules. ([irs.gov](https://www.irs.gov/newsroom?utm_source=openai))
- **Employer credit guidance under Working Families Tax Cuts (WFTC)** – Notice 2026-28 clarifies the permanent expansion of Paid Family & Medical Leave employer credits under WFTC. Businesses offering PFML must evaluate eligibility, record-keeping, and claiming process based on this updated guidance. ([irs.gov](https://www.irs.gov/newsroom?utm_source=openai))
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## Practical Compliance Steps for Businesses
To keep in compliance, businesses should:
1. **Review their retirement plan offerings**: If you sponsor 401(k)s or similar, follow upcoming Saver’s Match regulations to update plan documents, payroll systems, and communications.
2. **Check Business Tax Account eligibility and setup**: If not yet using the online BTA, now may be the time. Ensure you can receive digital notices, link bank accounts if paying via EFT, and get EIN verification notices as needed. ([irs.gov](https://www.irs.gov/newsroom/summer-2026-expanded-features-for-business-tax-account?utm_source=openai))
3. **For PFML programs**: Confirm that your leave policies and payroll systems align with updated employer credit rules. Gather necessary documentation to substantiate leave taken, wages paid, and compliance. ([irs.gov](https://www.irs.gov/newsroom/working-families-tax-cuts?utm_source=openai))
4. **Monitor changes to forms and publications**: Recent updates included instructions for foreign corporations under Jones Act waivers, revised deadlines, and updated reporting requirements. Missing a form revision can lead to penalties. ([irs.gov](https://www.irs.gov/forms-pubs/changes-to-current-forms-publications?utm_source=openai))
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## Case Example: Startup with Remote Employees
Imagine a U.S. tech startup with 20 remote employees across several states, planning to institute PFML and interested in encouraging retirement savings:
- The company should incorporate the new employer PFML credit under WFTC, collecting required payroll and leave data.
- It should also plan for Saver’s Match so that employees contributing to eligible retirement plans can get matching incentives.
- Using the BTA, management can simplify requiring documentation from employees or accessing notices without paper forms.
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## Key Compliance Risks & How to Mitigate
| Risk | Mitigation |
|------|------------|
| Missing or misdated changes to tax forms (e.g. forgetting to use updated instructions) | Maintain checklist of recently published IRS forms/instruction updates; assign responsibility for monitoring Newsroom/IRB releases. |
| Misapplying employer credits (PFML) due to misunderstanding eligibility or leave type | Consult updated Notice 2026-28; keep consistent leave records; coordinate with benefits and payroll professionals. |
| Not registering to receive IRS digital notices via BTA, continuing with slow paper processes | Enroll eligible business roles in BTA; ensure official contact info is current. |
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## Bottom Line
Summer 2026 updates demand greater operational readiness: digital transformation of business interactions with IRS, readiness for new credits, and stronger documentation. Businesses who adapt early will gain compliance efficiencies and financial benefits—those who don’t may face avoidable penalties or lost credits.