Tax season is here, and it’s crucial to file your return by April 15th. To sidestep the last-minute rush and stress, try to get organized as soon as you can.
“There’s no need to wait until the deadline, but you shouldn’t feel rushed either,” advises Tom Oseven, who directs tax content and government relations for the National Association of Tax Professionals.
Some best practices include gathering all your necessary documents, setting up direct deposit for refunds, and keeping a copy of your return. Changes in tax laws mean there are new deductions to consider this year, aside from those established by the Republican tax bill signed by President Trump last summer.
According to Miguel Burgos, a certified public accountant and TurboTax expert, new deductions include tax-free tips, tax-free overtime, a deduction for auto loan interest, and a special deduction for those aged 65 or older by December 31.
Last year, the average tax refund was around $3,167, and analysts believe it could increase by about $1,000 this year due to changes in tax laws. Over 165 million individual tax returns were filed last year, with 94% done electronically.
If the whole tax process feels overwhelming, there are plenty of free resources available to help you navigate it.
Here’s what you should take note of:
Please collect the documents
What you’ll need can vary based on your individual situation, but here’s a basic list:
- Social Security number
- W-2 form (if you’re employed)
- 1099-G (if unemployed)
- 1099 form (if self-employed)
- Records of savings and investments
- Information on deductible items, like educational and medical expenses, and charitable donations
- Tax credits like the child tax credit and retirement savings contribution credit
For a comprehensive document list, you can check the IRS website.
Oseven suggests gathering all your documents in one spot before you start filling out your taxes and also recommends saving last year’s documents. To enhance your protection against identity theft, consider obtaining a Personal Identification Number from the IRS. Once established, this number will be needed for your tax return.
Learn about some of the changes this year
- Changes to the standard deduction
This year, the standard deduction for single taxpayers is $15,750. For married couples filing jointly, it’s $31,500, while heads of household will see a deduction of $23,625.
- Changes to the State and Local Tax (SALT) deduction
The SALT deduction limit has increased from $10,000 to $40,000, a change effective July 2025. “This is significant for states like California, New York, and New Jersey, where state income taxes are high,” notes Keith Hall, a CPA and president of the National Association of Self-Employed Workers.
The SALT credit allows a federal tax deduction for certain state and local taxes paid throughout the year, which was previously capped at $10,000 since 2018.
If you haven’t itemized your SALT deductions in the past, this may be the year to consider it. Oseven recommends asking yourself whether you’ve paid state taxes, property taxes, mortgage interest, or made any charitable donations.
There’s some confusion about what “no tax on tips” really means. Only certain tips qualify for deductions and there are income limits associated.
“Tips can be cash or electronic, but they must be voluntary,” Burgos elaborates. There’s an annual deduction cap of $2,500, and for higher earners—those with a modified adjusted gross income above $150,000 or $300,000 for joint filers—this deduction phases out. Specific industries, like food service and entertainment, typically come into play for this deduction.
To take advantage of this new tax break, you’ll need to use a new form called Schedule 1-A.
- Additional deductions on Schedule 1-A
Schedule 1-A is used to claim and calculate four specific tax credits. These include modifications to state and local tax credits, credits for eligible tips, auto loan interest, and credits for seniors.
Find resources
This year, the IRS Direct File system for free electronic tax returns won’t be available. However, if your income is $89,000 or less, you can access IRS Free File, which provides free guided tax prep through partners like TaxAct and FreeTaxUSA.
Furthermore, you can opt for tax preparation software like TurboTax or seek assistance from certified public accountants. The IRS has a directory where you can find registered tax professionals.
The IRS also offers two federally-funded programs for free tax assistance: Volunteer Income Tax Assistance (VITA) and Tax Counseling for the Elderly (TCE). Eligibility for VITA includes individuals earning less than $69,000, those with disabilities, or limited English speakers. The TCE program is available for individuals aged 60 and older. For information on clinics offering these services, the IRS has resources available online.
Avoid common mistakes on tax returns
Many worry about making errors that could lead to troubles with the IRS. Here’s how to steer clear of common pitfalls:
- Double-check your name on your Social Security card
Oseven often reminds clients to confirm their legal names and numbers, especially if they’ve changed their name after marriage.
“If you’ve gotten married and want to file with your married name but haven’t updated it with Social Security, it might not be recognized,” Oseven explains.
- Search your online tax statements
Some people prefer not to receive physical mail, but your tax documents might be online if you’ve opted for paperless statements.
“Those documents can often be accessed online, so make sure to check there if you have chosen paperless communication,” Oseven advises.
- Declare all forms of income
If you start a second job this year, you’ll need either a W-2 or 1099 form for each position. Inaccurately reported income could trigger an IRS audit.
Learn about the child tax credit
Currently, the child tax credit stands at $2,200 per child, but only $1,700 is refundable through the Additional Child Tax Credit. To qualify for this additional credit, you need to earn at least $2,500 annually.
Meeting eligibility requirements—specifically, an income of $200,000 or less (or $400,000 for joint filers)—gives you access to the full child tax credit for each qualifying child. Higher-income parents may still qualify but at a reduced credit.
Avoid paper checks for tax refunds
The IRS is beginning to phase out paper checks for tax refunds. To ensure you receive your refund, consider signing up for direct deposit.
Prevent tax fraud
Tax season often sees an uptick in scams. These can occur via various channels like phone calls and emails, and it’s good to remember that the IRS won’t reach out to you this way.
Be cautious; if a tax professional promises a larger refund than you’ve had in the past, that’s a potential red flag. If you’re unsure about what your tax professional has filed on your behalf, request a copy of your tax return for clarity.
Keep a copy of your tax return
I suggest keeping copies of tax returns to help address any inquiries from the IRS about previously reported items. It’s advisable to retain these records for at least five to seven years.
