📢 What’s Different About the 2026 Tax Season?

The 2026 tax season (filing your 2025 tax return) comes with several important changes and trends that taxpayers should be aware of. Compared to prior years, the IRS is placing greater emphasis on accuracy, transparency, and early preparation.

JJ Fang

12/30/20251 min read

Tax free buy & refund sign on wooden pillar.

Here are the key differences to know:

🔐 Stronger Identity Verification
The IRS continues to expand the use of ID.me and online IRS accounts. More taxpayers may be required to verify their identity before returns or refunds are processed, which can cause delays if not completed early.

🚗 More Focus on Side Income & Gig Work
Income from freelance work, rideshare driving, online platforms, and other side hustles is under increased scrutiny. Even if you don’t receive a 1099, income is still reportable. Proper recordkeeping is more important than ever.

💻 Crypto & Digital Asset Reporting Matters
The IRS remains highly focused on cryptocurrency and digital asset transactions. The question on Form 1040 is clear, and data matching from exchanges has improved. Ignoring crypto reporting is no longer an option.

🌍 Tighter Review of International Income & Assets
Taxpayers with foreign bank accounts, overseas income, or cross-border tax obligations should expect closer review. FBAR and FATCA compliance continues to be a major enforcement priority.

⏳ Earlier Preparation Is Key
The IRS and tax professionals alike are encouraging early filing. Waiting until the last minute may result in processing delays, limited appointment availability, or missed planning opportunities.

📄 Extensions Are Common — But Often Misunderstood
Filing an extension gives you more time to file your return, not more time to pay. Any unpaid tax after April 15 may still be subject to penalties and interest.

📬 IRS Notices Are Still Common
With IRS systems fully operational again, automated notices are being issued more frequently. Receiving a notice does not always mean something is wrong—but it does mean you should respond promptly.

✅ Bottom line:
The 2026 tax season rewards taxpayers who prepare early, report completely, and seek professional guidance when needed.

If you’re unsure how these changes affect you, working with a qualified tax professional can help you file accurately and avoid unnecessary issues.