The Internal Revenue Service (IRS) began accepting 2025 tax year returns on January 26, 2026. For most individual taxpayers, this means you can now start submitting your federal return electronically personally or with the help of a tax professional.
Here’s everything you need to know about IRS updates and how newly enacted tax provisions might affect you:
Free File & Filing Options
Those with adjusted gross income of $89,000 or less are eligible to use the IRS Free File program to prepare and file a federal return online at no cost. Unlike some past years, the IRS Direct File tool is not available for 2026. Taxpayers who want a free option will need to rely on Free File, IRS Free Fillable Forms, or volunteer programs like VITA and TCE.
Major Tax Law Changes
This tax season reflects major updates from the One Big Beautiful Bill Act and other recent legislation. These changes affect deductions, credits, reporting rules, and more — and getting them right can mean a bigger refund or a smaller tax bill. Here are a few highlights:
- Bigger SALT Deduction Cap: The state and local tax deduction cap has increased from $10,000 to $40,000 for 2025 returns.
- Child Tax Credit Updates: The maximum Child Tax Credit went up for 2025 returns and has slightly different income phase-outs.
- Senior Bonus Deduction: Taxpayers 65 and older can claim up to an extra $6,000 deduction through 2028 (subject to income limits).
- 1099-K Reporting Rule Reversion: Platforms issue Forms 1099-K only under the higher $20,000/200-transaction threshold.
These changes can impact everything from filing strategy to what forms you complete — and may require filing new schedules introduced for this season.
IRS Tools & Preparation Tips
To make the process smoother and help avoid delays:
- Open or log into your IRS Online Account: You can view your tax records, payment history, and important notices anytime.
- Use direct deposit for refunds: The IRS has begun phasing out paper refund checks and strongly encourages direct deposit for faster, more secure refunds.
- Gather forms early: W-2s, 1099s, digital asset transaction records, and other paperwork are key to accurate filing.
- Be aware of scams: The IRS will never initiate unscheduled calls or texts; if in doubt, go to IRS.gov directly.
What This Means for Taxpayers
The 2026 filing season is shaped by substantial tax law changes that affect millions of Americans. Whether you’re a first-time filer, a seasoned taxpayer, or preparing returns for a family, understanding the landscape will save you time and potentially maximize your refund.
There’s also growing conversation among tax professionals about IRS staffing levels and system readiness, so patience and organization are essential this season.
Final Takeaway
Filing season 2026 is here — earlier and more complex than many recent years. With changes to deductions, credits, and filing tools, preparation is the key to success. Use the IRS free resources, get your documents organized, and don’t wait until April to start — thousands of refunds are processed in just weeks, and early filing can help you get yours sooner.