2025 Tax Changes

Several tax provisions will shift beginning in 2025 under the One Big Beautiful Bill Act. These changes affect the state and local tax deduction, the educator expense deduction, and the treatment of mortgage insurance premiums. Understanding these updates now can help taxpayers plan ahead and avoid surprises during next year’s filing season. SALT Deduction Cap Increases to 40,000 The state and local tax deduction, known as the SALT deduction, has been limited to 10,000 since

Beginning in late 2025, the IRS will shift away from paper-based payments and paper refund checks. This new electronic payment mandate is part of a federal payment-modernization initiative supported by the U.S. Treasury. The IRS notes that electronic payments reduce delays, improve accuracy, and provide immediate confirmation that a payment was received. IRS payment systems: https://www.irs.gov/payments IRS Direct Pay: https://www.irs.gov/payments/direct-pay Treasury announce