The Internal Revenue Service has announced that the 2026 federal filing season will officially open on Monday, January 26, 2026, marking the start of filing for 2025 federal income tax returns.
As part of its annual “Get Ready” campaign, the IRS is encouraging taxpayers, businesses, and tax professionals to take proactive steps now to avoid delays, errors, and last-minute stress once filing season begins.
Below are key preparation steps highlighted by the IRS and why they matter.
1. Access IRS Online Accounts Early
Taxpayers are encouraged to create or log into their IRS Individual Online Account to:
- View account balances and payment history
- Make and track payments
- Manage communication preferences
- Protect tax information from identity theft
Tax professionals can use the Tax Pro Account, and businesses should access the Business Tax Account to monitor compliance and correspondence.
2. Set Up Direct Deposit for Refunds
Direct deposit remains the fastest and most secure way to receive tax refunds. Taxpayers should confirm bank information in advance to avoid processing delays.
3. Review 2025 Tax Law Changes
The IRS reminds filers to review updates from recent legislation, including provisions enacted under the One, Big, Beautiful Bill, which may affect credits, deductions, and reporting requirements for 2025 returns.
Understanding changes ahead of time can prevent amended returns later.
4. Understand “Trump Accounts” for Eligible Children
The IRS also highlights new Trump Accounts for qualifying children. Families should confirm eligibility and documentation requirements before filing.
5. Prepare to Report Income from Payment Apps and Online Sales
All income from:
- Gig work
- Part-time activities
- Online sales of goods and services
is taxable.
Key Form 1099-K reminders:
- Payment card companies will issue Form 1099-K for any amount of payments.
- Payment apps and online marketplaces will issue Form 1099-K when payments exceed $20,000 and 200 transactions during the year.
Even if a taxpayer does not receive a form, the income must still be reported.
6. Be Aware of Digital Asset Reporting Requirements
Taxpayers who bought, sold, exchanged, or received:
- Cryptocurrency
- Stablecoins
- NFTs
must report those transactions. Some individuals may receive Form 1099-DA from brokers, but all taxpayers must still:
- Answer the digital asset question on Form 1040
- Report related income, gains, or losses
Failure to properly report digital asset activity can result in penalties and audit exposure.
Why Early Preparation Matters
Gathering documentation and reviewing filing requirements before the season opens can help:
- Reduce processing delays
- Prevent notices and correspondence audits
- Ensure accurate reporting of income and deductions
- Protect against identity theft and refund fraud
With the filing season opening on January 26, 2026, now is the ideal time for individuals, businesses, and nonprofit organizations to organize records and consult with their tax advisors.
Proactive preparation leads to smoother filings, fewer surprises, and stronger compliance.
