Latest News About Irs Pandemic Penalty Refund

Direct answer: The latest major nationwide pandemic-penalty relief was issued in 2022, automatically refunding or crediting penalties paid on 2019–2020 returns for eligible taxpayers, with refunds typically issued by late 2022; more recent news centers on ongoing court cases and audits about whether additional pandemic-era penalties should be refunded, with some new guidance requiring claims by specific deadlines in 2026.

What this means for you:

• If you paid late- Filing or late-payment penalties for 2019 or 2020, you may have already received automatic refunds or credits if you qualified under Notice 2022-36. This relief was designed to be automatic, so there was no need to apply in most cases. Source discussions from 2022 confirm the automatic nature and the $1.2+ billion in refunds to about 1.6 million taxpayers [IRS press release and notices from 2022].[1][2]
• In 2023 and beyond, additional penalty-relief efforts targeted other pandemic-related scenarios, including relief for certain 2020–2021 returns and automated collection notices, but these did not necessarily apply to all pandemic penalties. See IRS notices around 2023 for details on broader relief [IRS IR-2023-244].[4]
• As of 2025–2026, several independent outlets and watchdogs flagged potential refunds tied to ongoing legal challenges that could reopen or extend relief for penalties assessed during the COVID period. Some reports indicate that audits or court decisions may create new eligibility or deadlines to file claims (e.g., Form 843) by specific dates such as July 10, 2026 in certain scenarios [CNBC 2026 audit; local-news summaries 2026].[3][5][6][8]

How to check your status and act:

• Check the IRS or IRS Newsroom pages for notices relevant to penalty relief (especially any notices referencing 2019–2020 returns). If you believe you paid penalties during the pandemic and did not receive automatic relief where you should have, you may have a route to claim a refund or credit under ongoing litigation or adjustments. See notices relating to pandemic relief and the 2022 automatic relief as a starting point [IRS notices 2022-36; IR-2022-155].[2][1]
• If you’re considering a potential claim under the later developments, look for instructions on Form 843 and any deadlines (e.g., July 10, 2026 in some reports) and consult a tax pro to confirm eligibility based on your specific penalties and dates.[6][8][3]

Illustration:

• Example: A taxpayer paid a late filing penalty for a 2020 return in 2020. If their return qualified under the 2022 penalty-relief framework, the penalty would have been automatically abated or refunded, often without any action needed. If a court ruling later altered the scope, that taxpayer might need to file a claim (e.g., Form 843) by a defined deadline to recover further amounts, depending on the ruling and the specific penalties involved.[1][3][6]

Citations:

• IRS notice and press release about broad-based penalty relief for 2019–2020 returns due to the pandemic, including automatic refunds or credits to about 1.6 million taxpayers.[1]
• IRS follow-up summaries and related notices detailing automatic nature of relief and refund timelines.[2]
• Coverage of ongoing court actions and deadlines that could affect eligibility for pandemic- era penalties refunds, including Form 843 and July 10, 2026 deadline mentions.[8][3][6]
• Additional 2023 relief for nearly 5 million 2020–2021 returns in certain contexts.[4]
• Watchdog audit highlighting potential missed refunds and related updates (early 2026).[5]