2025-2026: What's New, Helpful Tips, and Key Deadlines

At the Hupke Team, we know that real estate decisions are often connected to the bigger financial picture. Buying, selling, downsizing, or planning your next move is closely tied to income, taxes, savings, and long-term planning. That’s why staying informed, especially during tax season, is an important part of making confident decisions.

As we move through February 2026, many households are preparing to file their 2025 tax returns. Some of the updates below apply to the taxes being filed this year for 2025, while others take effect for the 2026 tax year and will impact returns filed next year. Neitzel Consulting recently shared a helpful overview of what’s changing, along with key reminders to help make filing smoother and reduce surprises. Below is a clear, straightforward breakdown of what to know as you prepare to file your taxes for 2025.

Key Tax Changes Affecting 2025 Returns (Filed in 2026)

Several updates may reduce taxable income or increase deductions for qualifying taxpayers this year.

Individuals age 65 or older may qualify for a $6,000 deduction if their income is below $75,000 for single filers or $150,000 for married filing jointly. In simple terms, qualifying seniors may be able to deduct an additional $6,000 from taxable income.

For those who earn tip income, up to $25,000 may be tax-exempt for qualifying taxpayers. Tips must still be reported on a W-2 or separate employer statement, even if some of that income is not taxed.

Similarly, up to $12,500 of overtime pay may be tax-exempt, with the same reporting requirements. If you regularly work overtime, a portion of that extra pay may not be taxed, depending on your income.

The standard deduction increases to $15,750 for single filers and $31,500 for married filing jointly, meaning more income is automatically shielded from taxes without itemizing.

Families will also see an increase in the Child Tax Credit, which rises to $2,200 per qualifying child.

A new deduction applies to vehicle purchases as well. Up to $10,000 of car loan interest may be deductible for new, U.S.-assembled vehicles purchased in 2025 or later, subject to income limits.

For homeowners, the State and Local Tax (SALT) deduction increases to $40,000, allowing eligible taxpayers to deduct more of what they pay in state and local taxes, including property taxes.

Administratively, the IRS will no longer issue paper refund checks. All refunds must be sent via direct deposit, as the IRS continues transitioning to electronic payment systems.

Key Tax Changes Taking Effect in 2026 (Filed in 2027)

Looking ahead, several provisions begin with the 2026 tax year.

Gambling losses will be deductible only up to 90% of gambling winnings, limiting how much loss can offset taxable income.

Charitable giving rules expand slightly. Even if you take the standard deduction, you may deduct up to $1,000 if filing single or $2,000 if married filing jointly in charitable contributions.

A new tax-deferred savings account for children will be available for children born between 2026 and 2028. These accounts allow contributions of up to $5,000, including a $1,000 government contribution, offering families a new long-term savings tool.

Updates for Small Business Owners

Neitzel Consulting also highlighted several provisions that continue to benefit S-corps, sole proprietors, and partnerships.

The 20% Qualified Business Income (QBI) deduction remains permanent.
100% bonus depreciation continues, allowing immediate expensing of qualified property.
Section 179 expensing limits remain high, allowing more upfront write-offs.

Overall, these provisions provide added flexibility for business owners by allowing larger deductions earlier, supporting more effective budgeting and planning.

Important Tax Season Reminders and Key Dates

Staying aware of deadlines can help avoid unnecessary stress or penalties.

January 31, 2026, was the deadline for businesses to mail W-2 forms to employees. If you have not received yours, reach out to your employer.

Wednesday, April 15, 2026, is the deadline for filing your 2025 federal tax return. This is also the deadline to pay any taxes owed.

If you need more time, you may file for an extension. Thursday, October 15, 2026, is the deadline to file for those who requested an extension. Remember, an extension gives you more time to file - not more time to pay. Any estimated taxes owed should still be paid by April 15 to avoid penalties.

With refunds now fully digital, direct deposit is required. Refunds should process more efficiently, although early-season returns involving the Earned Income Tax Credit or Child Tax Credit may still experience standard IRS review delays.

Looking Ahead With Confidence

Tax planning is just one part of the larger financial picture, but it often overlaps with major life decisions, especially when it comes to housing. Understanding these updates can help you plan more intentionally, whether you’re staying put, downsizing, or preparing for your next move.

We want to thank Neitzel Consulting for sharing these timely tax tips and reminders to help clients stay informed and prepared for the 2025–2026 tax season.

Planning Your Next Move With the Hupke Team

The Hupke Team understands that financial planning and real estate strategy often go hand in hand. With 102 closings in 2025, $35 million in sales, and 135 five-star Google reviews, we bring practical experience and steady guidance to every step of the buying and selling process, especially when timing and financial considerations play a key role.

If a move is on your horizon, we’re always here to help you with timing, strategy, and next steps.

This information is provided for general educational purposes only and should not be considered tax, legal, or financial advice. Tax situations vary, and readers are encouraged to consult their tax professional regarding their specific circumstances.