2026 Tax Season: Filing Deadlines, OBBBA Updates, and Strategies

SHARE THIS POST

At a Glance: 2026 Tax Season, Filing Major OBBBA and Filing Updates

  • SALT Cap Increase: The State and Local Tax (SALT) deduction cap has been raised from $10,000 to $40,000 for eligible taxpayers for the 2025 tax year.
  • Business Deductions Restored: The OBBBA has reinstated 100% Bonus Depreciation and expanded Section 179 expensing limits for business owners and self-employed individuals.
  • Deadline Opportunities: While most planning ends on Dec 31, you can still contribute to IRAs, SEPs, and HSAs until the April 15, 2026, filing deadline to reduce your 2025 taxable income.
  • New Senior Deduction: Taxpayers aged 65+ may be eligible for a new $6,000 additional standard deduction introduced by the OBBBA.

With the tax filing deadline approaching on April 15th (or October 15th for those filing an extension), now is the time to begin aggregating your 2025 records.

While financial institutions and employers will mail most of your tax forms, the legal onus for collecting documents and filing an accurate return lies with you. This is especially true for “proactive” steps that do not generate a tax document, such as Health Savings Account (HSA) contributions or Backdoor Roth IRA conversions.

Essential Resources

•    2025 Tax Checklist: Review our updated list of required documents [CLICK HERE].

•    Legislation Update: Be aware of the significant changes introduced by the One Big Beautiful Bill Act (OBBBA). Some key provisions include the permanent extension of the TCJA tax brackets, the increased $40,000 SALT cap (for eligible incomes), and the new $6,000 Senior Deduction for those 65+. [Read our OBBBA Analysis here].

Opportunities Before the Filing Deadline

While most proactive tax planning should be finalized by December 31 [See: Proactive Tax Strategies for High Earners], several high-impact actions can be taken right up until the filing deadline:

•    Retirement Contributions: You can still fund Traditional and Roth IRAs (if eligible) for the 2025 tax year.

•    Small Business & Self-Employed Plans: Flexibility remains for contributions to Solo 401(k), Keogh, or SEP IRA plans.

•    Business Deductions: Owners can still elect to opt in or out of Section 179 and Bonus Depreciation (restored to 100% under OBBBA), and elect the method for home office deduction or vehicle expensing.

•    Deduction Optimization: You can evaluate whether Itemizing or taking the Standard Deduction ($31,500 for joint filers) is more favorable for your specific situation.

•    Estimated Payments: Ensure your final 2025 estimated payments were settled (ideally by January 15) to mitigate interest and penalties.
Strategic Oversight

Tax planning is a year-round discipline, often requiring years of foresight to maximize lifetime savings. However, the benefits of these strategies are only realized through precise and timely filing.

February 2026

Thank you for signing up to receive our newsletter!

If you would you like to discuss financial planning with us, please provide your phone number.

Sarsi LLC Logo

Disclaimer

Sarsi, LLC (“Sarsi” or “the firm”) is a registered investment adviser located in New Jersey. Sarsi and its representatives are in compliance with the current registration mandates imposed on state registered investment advisers in those states where registration is required. The firm may also transact business in those states in which it maintains registration or qualifies for a corresponding exemption there from.

Use of this website is limited to the dissemination of general information regarding Sarsi’s investment advisory services offered to individuals residing in those states where providing such information is not prohibited by applicable law. Accordingly, the publication of Sarsi’s website on the internet should not be construed by any consumer as a solicitation or attempt to effect transactions in securities, or the rendering of personalized investment advice. Nothing on this website should be interpreted in any manner whatsoever as a substitute for, or the receipt of, personalized investment advice. Certain of the information contained herein may not be suitable for everyone and may be derived from external sources that are not affiliated with Sarsi. While Sarsi believes these sources to be reputable, the Firm makes no representation or guarantee as to the accuracy, timeliness or suitability, completeness or relevance of the information prepared by any unaffiliated third-party, whether linked to the website or referenced herein. All such information is provided for convenience purposes only and all users therefore should be guided accordingly. Any subsequent, direct communication with a prospective client of the Firm will be initiated by a representative whom is either registered or exempt from registration in the state in which the prospect resides.

Detailed information pertaining to Sarsi’s qualifications, business operations, fee schedule service offerings can be found in the Firm’s Disclosure Brochure which appears as Part 2A of Sarsi’s Form ADV. Additional information about Sarsi, as well as a current version of the Firm’s Disclosure Brochure, is available on the Investment Advisor Public Disclosure website which is operated by the U.S. Securities and Exchange Commission, at www.adviserinfo.sec.gov

ACCESS TO THE FIRM’S WEBSITE IS PROVIDE FOR INFORMATION PURPOSES ONLY AND WITHOUT WARRANTIES-EXPRESS OR IMPLIED-WITH REGARD TO THE ACCURACY, TIMELINESS OR RESULTS OBTAINED FROM ANY INFORMATION POSTED ON THIS WEBSITE OR ANY THIRD-PARTY WEBSITE LINKED HERETO.