The IRS opened the 2026 tax filing season January 26, launching the first implementation of the One Big Beautiful Bill Act, signed July 4, 2025. The law extends 2017 tax provisions set to expire December 2025 and adds deductions for tips, overtime, car loan interest, and seniors.
Taxpayers will use a new form, Schedule 1-A, to claim these benefits. Employers must update W-2 reporting to separately track qualified overtime and tips. Paper tax refund checks were discontinued on September 30, 2025, by executive order, pushing approximately 6% of filers without direct deposit toward electronic payment methods or prepaid debit cards.
The law creates Trump Accounts, a new retirement savings vehicle for minors that will begin accepting contributions on July 4, 2026. The federal government will seed each account with $1,000 for children born between 2025 and 2028. Major employers—including Steak 'n Shake, Bank of America, Uber, Intel, IBM, and Nvidia—have pledged matching contributions.