Your 2026 tax guide: All the changes to know before filing

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FILE - Close up of a tax return form with calculator. Getty Images

With the passage of President Donald Trump’s tax bill earlier this year, tax filing season will look a little different for many Americans. 

The so-called One Big Beautiful Bill Act, signed into law on July 4, 2025, enacted new tax deduction rules for many workers and seniors, meaning much bigger refunds could be coming your way – but only if you’re aware about the qualifications and how to file for them. 

"You want to make it right; don’t take something that’s not yours. But you also don’t want to leave it off, because the IRS is just not going to send you more money. If you leave it off, it stays off," Mark Steber, Jackson Hewitt’s chief tax officer, told FOX News.  

Here are some tax changes to be aware of when filing your return next year: 

No taxes on tips

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The new law created a temporary deduction for tips up to $25,000 for tax years 2025 through 2028. 

Dig deeper:

The deduction phases out for taxpayers with a modified adjusted gross income over $150,000, and tips must be earned in an occupation on Treasury’s list of qualified occupations. 

No taxes on overtime

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Workers can deduct up to $12,500 in overtime (or up to $25,000 in a joint return). Like the tip measure, the amount workers can deduct is reduced if they make more than $150,000. And they must include a Social Security number when they file.

RELATED: These states get the highest and lowest tax returns

More deductions for seniors

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Older adults (65 or older as of Dec. 31, 2025) who earn no more than $75,000 a year also get an additional $6,000 deduction, Trump’s nod to his pledge to end taxes on Social Security benefits.

No tax on car loan interest

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Effective for 2025 through 2028, individuals may deduct interest paid on a loan used to purchase a qualified vehicle.

"If you bought a car and it was assembled in the United States and you borrowed money, (you could get) up to $10,000 in deductible loan interest," Steber said.

Child Tax Credit expansion

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The child tax credit has been boosted from $2,000 to $2,200. 

IRS Direct File unavailable

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The Trump administration has decided not to offer Direct File, the IRS' electronic tax filing system for free next year, and the program’s future is unclear. This free, electronic way to file had been available in a handful of states.

READ MORE: 2026 tax filing season changes: IRS Direct File unavailable 

When can you file taxes in 2026? 

Timeline:

The IRS has not yet announced when it will begin accepting tax returns, though the agency typically begins processing new returns the last week of January. The last day to file taxes without requesting an extension is Wednesday, April 15, 2026.