FIRE is going dark: How mortgage servicers can prepare for the IRS IRIS transition

Year-end reporting is one of the most important milestones on a mortgage servicer’s calendar and this year it comes with an added layer of urgency. The IRS is overhauling how information returns are filed, transitioning away from the long-standing FIRE system to a new platform called the Information Returns Intake System (IRIS).

Servicers that build IRIS readiness into their preparations now will be well-positioned when year-end reporting season arrives. With that deadline approaching quickly, it’s important to start preparing for this change.

For years, mortgage servicers and other financial institutions have relied on the IRS Filing Information Returns Electronically (FIRE) system to submit information returns for year-end tax reporting, but that is about to change. The IRS has announced that FIRE will be retired for Tax Year 2026/Filing Season 2027 and replaced by IRIS.

IRIS is not simply a system upgrade. It represents a fundamentally different approach to how information returns are submitted. The system supports two filing channels:

For most servicers, the A2A channel will be the relevant path, and it comes with its own set of technical requirements and preparation steps.

The single most important immediate action is applying for an IRIS Transmitter Control Code (TCC). The IRS can take up to 45 calendar days to process TCC applications, and the code is required to access IRIS schemas, business rules and the Assurance Testing System. A Responsible Official at the organization must initiate the application at irs.gov/iristcc. Servicers that have not yet done so should begin the process immediately.

Once a TCC is secured, the following steps should be completed during Q3 and early Q4:

The urgency of this transition cannot be overstated. Falling behind on any one step creates a cascading effect. Without a TCC, schemas cannot be accessed and testing cannot begin. Without passing ATS, production filings cannot be submitted. Without completing system configurations ahead of year-end, servicers will not be positioned to pull the output files needed for reporting. Every delay compounds the risk of missing critical filing deadlines with the IRS.

To stay current on the latest IRIS updates and their impact, attend the IRIS working group meetings. These sessions provide timely information and instructional guidance to help navigate the changes. Previous meeting notes and the ability to subscribe to alerts are also available.

Navigating a regulatory change of this scale is complex, and no servicer should have to figure it out alone. MSP is built to support servicers through exactly the kind of regulatory shifts that IRIS represents. ICE is committed to helping clients prepare, from configuring the right output files to working through the technical requirements of the A2A channel. To handle year-end reporting confidently, servicers need a system like MSP to provide the data foundation they can use to view and verify the required information on their end before they submit it to the IRS.

IRIS readiness is a core focus of the ICE Professional Services team’s year-end training and client support programs. Servicers with questions about where to start, or that want to make sure their organization is on the right track before year-end, should reach out to the ICE Professional Services team. The sooner servicers engage, the better positioned they will be to meet every IRS deadline with confidence.