REFUND CASH ADVANCES UP TO $9000 starting JAN 2,2026

-Individuals who receive qualified overtime compensation may deduct the pay that exceeds their regular rate of pay, generally, the “half” portion of “time-and-a-half” compensation, that’s required by the Fair Labor Standards Act and reported on a Form W-2, Form 1099, or other specified statement furnished to the individual.

• Maximum annual deduction is $12,500 ($25,000 for joint filers)
• Deduction phases out for taxpayers with modified adjusted gross income over $150,000 ($300,000 for joint filers)
• The deduction is available for both itemizing and non-itemizing taxpayers

 -Child Tax Credit: Increased to a maximum of $2,200 per qualifying child under age 17. Up to $1,700 of the credit may be refundable, depending on income and earned income levels 

• Car Loan Interest Deduction: Taxpayers may deduct up to $10,000 of interest paid on loans for new, U.S.-assembled personal vehicles. Eligibility is subject to income thresholds

• Tip Income Deduction: Eligible workers in designated occupations may deduct up to $25,000 of qualified tip income. Income limits apply, reducing or eliminating the deduction for higher earners

• Senior Deduction: A new deduction of $6,000 for individuals age 65 or older, with married couples filing jointly able to claim up to $12,000 if both spouses qualify. The deduction phases out at higher income levels.

• Permanent Standard Deduction Increases
  • Single filers: $15,750
  • Married filing jointly: $31,500
  • Head of household: $23,625
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• “Trump Accounts” for Newborns
  • Babies born between 2025 and 2028 are eligible for a $1,000 government contribution to a new tax-advantaged account.
  • Participation is elected using Form 4547.
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• Cryptocurrency Reporting Requirements
  • Cryptocurrency brokers are now required to report digital asset transactions to the IRS.
  • Taxpayers will receive Form 1099-DA to report digital asset activity on their tax returns.