The New IT Act 2025: What To Ask Your Tax Consultant In 2026

The tax landscape has undergone a seismic shift. If you are preparing for your US tax return preparation in 2026, you aren't just looking at standard inflation adjustments—you are navigating the full implementation of the "One Big Beautiful Bill" (OBBB) Act, signed into law in July 2025.

For many, this is the most significant overhaul since 2017. It has made many temporary provisions permanent, introduced brand-new deductions for the working class, and completely reimagined the incentives for families and seniors. As you sit down with your tax consultant this season, walking in with a list of generic documents isn't enough. You need to ask the right strategic questions to ensure you aren't leaving money on the table.

1. Tax Year and Filing Questions

The OBBB Act has solidified the structure of the US tax code, but it has also added layers of complexity regarding eligibility and retroactive application.

Key Questions to Ask:

"How do the permanent TCJA provisions affect my 2025 filing?" Since the OBBB Act made the 2017 tax rates and the larger standard deduction permanent, you no longer have to worry about the "sunset" that was originally scheduled for 2026.

"Am I eligible for the new 2025 retroactive deductions?" Several provisions signed in mid-2025 apply to the entire 2025 tax year. Ask your consultant if your previous withholdings need to be adjusted via a mid-year reconciliation.

"Do I meet the new Social Security Number (SSN) requirements?" The new law tightens the need for valid SSNs for almost all major credits. If you or your dependents rely on ITINs, ask how this impacts your eligibility for the Child Tax Credit (CTC) or the Earned Income Tax Credit (EITC).

2. Income and Tax Computation

2026 introduces the "Deduction Revolution" for specific types of income. If you work overtime, earn tips, or are a senior, your "taxable income" calculation has changed fundamentally.

Key Questions to Ask:

"How do I claim the No-Tax-on-Tips deduction?" If you earn tips, you can now deduct up to $25,000 of that income. Ask your consultant how to document this properly, especially if your employer's W-2 doesn't yet break out tips separately from base wages.

"What is the 'Qualified Overtime' limit for my filing status?" Single filers can deduct up to $12,500 (and married couples $25,000) of overtime pay. However, there are phase-outs starting at $150,000 of income. Ask your advisor to calculate if your "effective tax rate" has dropped because of this.

"Can I claim the new $6,000 Senior Deduction?" If you are 65 or older, you are now entitled to a massive $6,000 "bonus" deduction on top of your standard deduction. Verify the income limits ($75,000 for singles / $150,000 for joint filers) with your advisor.

3. Corporate, Capital Gains, and Investment Queries

For investors and small business owners, the OBBB Act restored several "pro-growth" tools that had recently expired or been curtailed.

Key Questions to Ask:

"How does the restoration of 100% Bonus Depreciation impact my business equipment purchases?" The 100% write-off is back for property placed in service after January 19, 2025. Ask if you should "bunch" your 2026 purchases to take advantage of this.

"What are the new rules for Qualified Small Business Stock (QSBS)?" The holding periods for gain exclusions have been shortened (50% exclusion after just 3 years). Ask your advisor if your current startup shares qualify for these tiered benefits.

"How do the new 1099-DA forms for digital assets affect my crypto reporting?" 2025 was the first year for mandatory broker reporting of digital assets. Ask your consultant how to reconcile these new forms with your own transaction logs to avoid double-taxing your gains.

4. Compliance and Procedural Changes

The IRS is now utilizing advanced AI to flag discrepancies. This makes "procedural" questions more important than ever.

Key Questions to Ask:

"How are you using technology to match my 1099-K data?" The threshold for 1099-K reporting (from Venmo, PayPal, etc.) has been reset to $20,000 and 200 transactions. If you have a small side gig, ask how to report this without triggering an automated "mismatch" notice.

"Will the 1% Remittance Tax affect my international transfers?" If you send money abroad using cash or money orders, a new 1% fee applies. Ask your consultant for the best electronic methods to bypass this transaction tax.

"What documentation do I need for the new Auto Loan Interest Deduction?" You can now deduct up to $10,000 in interest on a new car, provided it was assembled in the US. Ask your consultant which VIN-verification documents you need to prove domestic assembly.

5. Transitional and Legacy Matters

Moving from the "old" rules to the "new" ones often leaves gaps in reporting.

Key Questions to Ask:

"How do we handle the transition from the old EV credits to the new system?" Many Biden-era electric vehicle credits ended on September 30, 2025. If you bought a car in late 2025, ask which "regime" applies to your purchase.

"Is my SALT deduction still capped at $10,000?" No—the OBBB Act raised the SALT cap to $40,000 for most taxpayers. Ask your advisor if it is finally time to switch from the standard deduction back to itemizing your return.

6. Strategic Tax Planning

A good tax consultant doesn't just look backward; they look forward. US tax return preparation 2026 is the year of "Trump Accounts" and long-term credits.

Key Questions to Ask:

"Should I open a 'Trump Account' for my newborn?" For children born between 2025 and 2028, the government provides a one-time $1,000 seed contribution. Ask how to claim this and what the investment restrictions are.

"How does the increased $2,200 Child Tax Credit change our 'Refund vs. Withholding' strategy?" With more of the credit being refundable ($1,700), you may be over-withholding from your paycheck. Ask for a new W-4 analysis.

7. Operational and Practical Guidance

Finally, ask about the "mechanics" of your filing. The IRS is underfunded and facing staffing shortages in 2026, making errors on your end more dangerous.

Key Questions to Ask:

"Do you offer IRS audit representation as part of your service?" With AI-driven audits increasing, knowing your consultant will stand by their work is vital.

"What is your portal's security protocol for my 2026 documents?" Ensure they are using 256-bit encryption for all W-2 and 1099 uploads.

Conclusion

The New IT Act of 2025 has essentially rewritten the rules of engagement for the 2026 filing season. From the $40,000 SALT cap to the "No-Tax-on-Tips" provision, the opportunities for savings are vast—but only if you know what to ask.

Choosing the right tax consultant this year means finding someone who has mastered the OBBB Act's fine print. Don't settle for a "form filler"; hire a strategist who can translate these new laws into a smaller tax bill for you.