Synergent Blog

A significant change is coming to the way all financial institutions electronically file information returns with the IRS.

Beginning with Tax Year 2026 filings, which will be submitted in calendar year 2027, the IRS will retire its legacy Filing Information Returns Electronically (FIRE) system. The Information Returns Intake System (IRIS) will become the only IRS intake system for electronically filed information returns.

The transition affects financial institutions that file information returns such as Forms 1099, 1098, 1042-S, and 5498. Institutions filing 10 or more information returns are required to file electronically and will need to use IRIS.

These changes are part of the IRS’s broader effort to improve data accuracy, security, and processing efficiency for information returns. IRIS brings XML-based submissions, stronger security controls, real-time validation, and improved error handling.

For credit unions, preparing for a change of this scale requires more than simply knowing it is coming. It means understanding what needs to change, coordinating across systems and vendors, and putting the right processes in place before filing deadlines approach.

Preparing Before the Deadline

Synergent began working proactively with partner Jack Henry™ to understand the new requirements and prepare for the transition to IRIS.

Together, we have established a plan designed to support a smoother experience for Synergent credit unions. We are also coordinating with tax processing vendors (partners Superior IRA and Ascensus) to help ensure files meet updated IRS requirements.

Synergent credit unions have received direct communication outlining what the transition means, what Synergent is doing to prepare, and the actions required from them. Additional resources and answers to common questions have also been provided so credit unions know what to expect well before the change takes effect.

The technology behind the filing process may be changing significantly. Our goal is to make navigating that change feel as straightforward as possible for the credit unions we serve.

What Credit Unions Should Know About IRIS

When will FIRE be retired?

The FIRE system will be retired at the end of 2026. Beginning with Tax Year 2026 filings submitted in 2027, IRIS will be the only IRS intake system available for electronically filing information returns.

Who will be affected?

The transition affects financial institutions and other organizations that electronically file information returns, including Forms 1099, 1098, 1042-S, and 5498. Institutions filing 10 or more information returns are required to file electronically.

How is IRIS different from FIRE?

IRIS replaces the flat-file formats used by FIRE with XML-based submissions. It also introduces real-time validation and acknowledgments, enhanced security and authentication requirements, and updated processes for identifying and correcting errors.

Will the tax forms themselves change?

No. IRIS changes how forms are submitted electronically to the IRS. It does not change the format of the tax forms themselves.

Can FIRE still be used for 2026 filings submitted in 2027?

No. Once FIRE is retired, electronic information returns will need to be submitted through IRIS. This includes current-year filings, prior-year filings, and corrections submitted after the transition.

Partnership & Preparation

The transition to IRIS is one example of changes that credit unions need to navigate.

That means monitoring changes that could affect your credit union, bringing the right people and partners together, communicating early, providing clear guidance, and helping reduce the operational burden on your team.

Not every challenge can be anticipated. But when change is on the horizon, having a knowledgeable and proactive partner can make all the difference.