What to know at start of 2026 tax season, including new possible deductions, scam warning
Experts say the average return is going up $1,000.
CHICAGO (WLS) -- Here's what to know at the start of the 2026 tax season.
Some could get significantly more money, when filing, through possible deductions.
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Experts say the average return is going up $1,000.
"So, if you're a parent, the child tax credit increase to $2,200 per dependent, child under 17. If you're a homeowner, the state and local income tax and property tax deduction, known as the SALT cap, that increased to $40,000. There are new deductions if you earn qualified tips. You can deduct up to $25,000," said Lisa Greene Lewis, a CPA and tax expert with TurboTax.
Greene-Lewis says, if you're in a profession that earns overtime, like a police officer or firefighter, you can deduct up to $12,500.
If you're 65 or over, there is a new deduction of $6,000, in addition to the standard deduction.
"What we're seeing is filers will see up to $1,000 increase in their refund depending on your situation," Greene-Lewis said.
Experts say the "Working Families Tax Cuts Act" created the changes.
"For instance, the earned income tax credit, that's a substantial credit for a family with three kids. That's up to $8,046. But the IRS says one out of five people miss that. There's another one that the IRS says one out of five people miss, and that's the retirement savers credit. And that's just a credit you get just for investing in your retirement," Greene-Lewis said.
Remind your tax preparer to check for all deductions or make sure the software you use flags them.
There's also a scam warning.
Use strong passwords and two-factor authentication so thieves can't access your tax filing software. Know that the IRS will never call, text or ask for money or your social security number. And file early.
Filing early and electronically also will help you get your refund faster. Don't forget to ask about deducting charitable donations.
You can also qualify for free tax filing through the IRS, TurboTax and other tax software services.
