Handy Taxes

03/19/2026

Don't be fooled by Scammers. Here are the most popular scams.
IRS impersonation by email and text (phishing and smishing)

https://www.irs.gov/privacy-disclosure/irs-privacy-guidance-about-email-contact Scammers send alarming emails, direct messages on social media, and texts that appear to be from the IRS. The messages direct taxpayers to fake IRS websites to “verify” accounts, enter personal information, or claim refunds. The IRS only emails or texts taxpayers after getting their permission, with a few exceptions like criminal investigations.
Never click any unsolicited communication claiming to be from the IRS. These links may install malicious software, including ransomware, on a taxpayer’s personal device, potentially preventing access to their files or personal information. To report suspected IRS-related phishing emails or messages, send them to [email protected] and follow IRS reporting instructions.
AI-enabled IRS impersonation by phone (robocalls, voice mimicry, spoofed caller ID)

Phone scams continue to evolve, including calls that use computer-generated tactics and spoofed caller ID to appear legitimate. In general, the IRS contacts taxpayers by mail first and does not leave urgent, threatening prerecorded messages, call to demand immediate payment, or threaten arrest. If a taxpayer gets a suspicious IRS-related call, hang up.
Additionally, taxpayers should not rely on AI-generated responses to complex tax questions, and they should verify any calculations or information provided by artificial intelligence.
Misleading tax advice on social media

There’s a lot of tax related misinformation on social media. Don’t be tempted by the promise of a larger refund. These viral “tax hacks” often encourage taxpayers to file returns with false information or claim credits they don’t qualify for, leading to refund delays, audits, penalties, or worse. Only follow trusted advice from the IRS, tax professionals, and other reputable sources.

The IRS will not initiate email contact with you without your consent, but we may send you email with your consent under certain circumstances.

10/10/2025

IRS Guidance on Phasing Out of Paper Checks

On Sept. 15, 2025, the The IRS, under Executive Order 14247, will begin phasing out paper refund checks for individual taxpayers as of September 30, 2025.

After that date, refunds will generally be required to be delivered electronically (e.g., direct deposit) unless restricted by law or special circumstances.

The change is intended to:
*Reduce the risk of lost, stolen, delayed, or altered paper checks
*Speed delivery of refunds to taxpayers
*Lower administrative costs for the IRS

For taxpayers who lack bank accounts or face obstacles to electronic payments, the IRS is committed to providing alternatives, such as prepaid debit cards or digital wallets, ensuring that all taxpayers are catered for.

For now, the existing filing and payment procedures remain in place. However, the IRS is dedicated to issuing detailed guidance before the 2026 filing season, ensuring that tax professionals are well-informed and prepared for the changes.

09/09/2025

Deduction for Seniors

New deduction: Effective for 2025 through 2028, individuals who are age 65 and older may claim an additional deduction of $6,000.

- This new deduction is in addition to the current additional standard deduction for seniors under existing law.
- The $6,000 senior deduction is per eligible individual (i.e., $12,000 total for a married couple where both spouses qualify).
- Deduction phases out for taxpayers with modified adjusted gross income over $75,000 ($150,000 for joint filers).

Qualifying taxpayers: To qualify for the additional deduction, a taxpayer must attain age 65 on or before the last day of the taxable year.

Taxpayer eligibility: Deduction is available for both itemizing and non-itemizing taxpayers.

Taxpayers must:
include the Social Security Number of the qualifying individual(s) on the return, and
file jointly if married, to claim the deduction.

09/09/2025

““No Tax on Car Loan Interest”
If a qualifying vehicle loan is later refinanced, interest paid on the refinanced amount is generally eligible for the deduction.

New deduction: Effective for 2025 through 2028, individuals may deduct interest paid on a loan used to purchase a qualified vehicle, provided the vehicle is purchased for personal use and meets other eligibility criteria. (Lease payments do not qualify.)
- Maximum annual deduction is $10,000.
- Deduction phases out for taxpayers with modified adjusted gross income over $100,000 ($200,000 for joint filers).

Qualified interest: To qualify for the deduction, the interest must be paid on a loan that is:
- originated after December 31, 2024,
- used to purchase a vehicle, the original use of which starts with the taxpayer (used vehicles do not qualify),
- for a personal use vehicle (not for business or commercial use) and
secured by a lien on the vehicle.

Qualified vehicle: A qualified vehicle is a car, minivan, van, SUV, pick-up truck or motorcycle, with a gross vehicle weight rating of less than 14,000 pounds, and that has undergone final assembly in the United States.
- Final assembly in the United States: The location of final assembly will be listed on the vehicle information label attached to each vehicle on a dealer's premises. Alternatively, taxpayers may rely on the vehicle’s plant of manufacture as reported in the vehicle identification number (VIN) to determine whether a vehicle has undergone final assembly in the United States.
The VIN Decoder website for the National Highway Traffic Safety Administration (NHTSA) provides plant of manufacture information. Taxpayers can follow the instructions on that website to determine if the vehicle’s plant of manufacture was located in the United States.

Taxpayer eligibility: Deduction is available for both itemizing and non-itemizing taxpayers.
- The taxpayer must include the Vehicle Identification Number (VIN) of the qualified vehicle on the tax return for any year in which the deduction is claimed.

Reporting: Lenders or other recipients of qualified interest must file information returns with the IRS and furnish statements to taxpayers showing the total amount of interest received during the taxable year.

09/09/2025

“No Tax on Overtime”

New deduction: Effective for 2025 through 2028, individuals who receive qualified overtime compensation may deduct the pay that exceeds their regular rate of pay – such as the “half” portion of “time-and-a-half” compensation -- that is required by the Fair Labor Standards Act (FLSA) and that is reported on a Form W-2, Form 1099, or other specified statement furnished to the individual.
- Maximum annual deduction is $12,500 ($25,000 for joint filers).
- Deduction phases out for taxpayers with modified adjusted gross income over $150,000 ($300,000 for joint filers).
- Taxpayer eligibility: Deduction is available for both itemizing and non-itemizing taxpayers.

Taxpayers must:
include their Social Security Number on the return and
file jointly if married, to claim the deduction.

Reporting: Employers and other payors are required to file information returns with the IRS (or SSA) and furnish statements to taxpayers showing the total amount of qualified overtime compensation paid during the year.

09/09/2025

No tax on tips - Effective for tax years 2025-2028
- From occupations that customarily and regularly receive tips
- Tips are reported on tax income document (W-2, 1099)
- Maximum annual deduction is $25,000 (for self-employed, deduction may not exceed the net income, without regard to this deduction)
- Deduction phases out for MAGI over $150,000 ($300,000 for MFJ)
- If married, must file jointly to get the deduction
​ - Must have a Social Security Number
- Available for filers who use the standard deduction or itemized deduction
- Self-employed individuals in a Specified Service Trade or Business (SSTB) under section 199A are not eligible. Employees whose employer is in an SSTB not eligible.

A specified service trade or business (SSTB): SSTBs are service businesses in fields such as:
Health (doctors, dentists, etc.)
Law
Accounting
Actuarial science
Performing arts
Consulting
Athletics
Financial services
Brokerage services
Any business where the principal asset is the reputation or skill of its owners or employees
The trade or business of performing services as an employee: W-2 wages received as an employee are not eligible for the QBI deduction.

- The IRS will publish by October 2, 2025, a list of occupations that "customarily and regularly" receive tips.

09/09/2025

Expiring Energy Credits

All of the credits for home energy improvement with clean energy property will be expiring on 12/31/2025. The property must be purchased and installed by that date and must qualify for the credit.

Credits for new and preowned clean energy vehicles will expire September 30, 2025. The vehicle must be purchase by September 30, 2025.