The Internal Revenue Service has officially kicked off its “Get Ready” campaign for the 2026 tax filing season, encouraging taxpayers to begin organizing their records now. The early push comes as significant changes from the One, Big, Beautiful Bill (OBBB) are set to impact how Americans file their 2025 tax returns starting in early 2026.
“It is important for taxpayers to get ready now because the One, Big, Beautiful Bill can significantly affect federal taxes, credits and deductions,” the IRS stated in its November 26 announcement. The agency is working with Treasury to implement new tax provisions, including no tax on tips, no tax on overtime, no tax on car loan interest, and a new temporary deduction for seniors.
The timing reflects the complexity of implementing major tax law changes. Business owners and high earners who typically juggle multiple income sources will need to navigate both familiar filing requirements and entirely new deductions. This includes W-2 wages, 1099 contractor payments, and investment income.
For taxpayers planning retirement contributions or managing tax-advantaged accounts, these changes could significantly alter year-end strategy decisions. The IRS emphasized that detailed guidance on the new provisions will be released as implementation continues.
Key Changes Business Owners Should Track
The OBBB introduces several provisions that could particularly benefit business owners and high-income professionals. Beyond the widely discussed no-tax provisions for tips and overtime, the legislation includes a deduction for car loan interest and enhanced standard deductions with an extra 5% inflation adjustment.
A new age-based deduction for taxpayers 65 and older includes phase-outs starting at modified adjusted gross income of $75,000 for single filers and $150,000 for joint filers. The deduction completely phases out at $175,000 and $250,000, respectively. The legislation also raises the state and local tax (SALT) deduction cap, which could change itemization strategies for high earners in high-tax states.
These changes arrive as the IRS continues emphasizing compliance for digital asset transactions and gig economy income. The agency specifically instructs taxpayers to gather records of digital asset transactions and reminded that most income remains taxable whether or not a 1099 form is issued.
Digital Tools and Direct Deposit Requirements
The IRS is pushing taxpayers toward its online account system, which now allows users to view tax records, make payments, access Identity Protection PINs, and authorize tax professionals digitally. The system also provides access to available W-2 forms and certain 1099s.
Direct deposit remains the fastest refund method, but the IRS has been phasing out paper refund checks since September 30, 2025, under Executive Order 14247. This means most taxpayers must provide routing and account numbers for direct deposit into bank accounts.
Taxpayers without traditional bank accounts can use prepaid debit cards, digital wallets, or mobile apps that provide routing and account numbers. The IRS advises checking with providers to confirm the correct numbers to use for tax refunds.
Recordkeeping and Timing Remain Critical
The IRS stressed that accurate filing depends on waiting for all information returns, including W-2s, various 1099 forms, and 1095-A health insurance forms, before filing returns. Filing too early without complete documentation can lead to amended returns and delayed refunds.
For business owners and those with multiple income streams, the agency recommends using the Tax Withholding Estimator and making quarterly estimated tax payments to avoid underpayment penalties. This guidance particularly applies to those receiving substantial non-wage income from self-employment, investments, or taxable Social Security benefits.
The IRS also highlighted its Interactive Tax Assistant tool for determining whether specific income types are taxable, eligibility for credits, and deduction qualifications under the new law. As OBBB implementation continues, this tool may help clarify how new provisions interact with existing tax rules.
Taxpayers can find additional preparation resources and updates on new tax provisions at IRS as the 2026 filing season approaches.
Source: It’s not too early to get ready for the 2026 tax season | IRS