The Schedule 1-A does not differ from the draft version issued last year, but instructions for Form 1040 provide details and examples on the four temporary deductions.
Advertisement
TOPICS
Tax
Senate bill targets preparers who break the law, expands IRS reforms
The AICPA supports the Taxpayer Assistance and Service Act but seeks further improvements.
District court dismisses taxpayer’s refund claim
The court held that it lacked subject-matter jurisdiction over a taxpayer’s refund claim that did not meet the full-payment rule set forth in Flora, 357 U.S. 63 (1958).
Nondeductible W-2 wages not included in Sec. 199A deduction computation
The Tax Court determined that W-2 wages that are not deductible under Sec. 280E in calculating taxable income are not included when calculating the Sec. 199A qualified business income (QBI) deduction.
Court determines taxpayer lacked profit motive
The Tax Court applied the hobby loss rules under Sec. 183 to disallow losses from a taxpayer’s ranch.
IRS should open Trump accounts for eligible children automatically, AICPA says
In a letter to the IRS and Treasury, the AICPA said enrolling children by default “would promote equitable access, reduce procedural barriers, and strengthen the intended reach of the program.”
GAO says tax pros helped shape IRS response to ERC issues
The report to Congress also recommends four ways for the IRS to close the chapter on the pandemic-era credit.
Anticipated applicability date for future final RMD regs. announced
The IRS said it anticipates that the future final regulations on RMDs under Sec. 401(a)(9) will apply for the distribution calendar year that begins no earlier than six months after those regulations’ appearance in the Federal Register.
AI loses ground to pros as taxpayers rethink who should do their taxes
Taxpayers are shifting back toward human tax professionals, with trust in AI for filing slipping across every generation, survey shows.
AICPA seeks guidance on Sec. 174A(c) capitalization and amortization of R&E
Requested guidance can be provided through modifications to Rev. Proc. 2025-28 and/or other published guidance.
Average tax refund rises 11%; total filings decline
The average individual tax refund is up nearly 11% in the first 10 business days of the 2026 filing season, rising to $2,290 from $2,065 last year.
IRS broadens Tax Pro Account for accounting firms and others
The update allows firms that serve larger numbers of taxpayers to manage centralized authorization file access, view client information, and streamline authorizations online.
AICPA urges Treasury, IRS to simplify Sec. 951 documentation rules
The AICPA told Treasury that Notice 2025 75’s “determine and document” requirement is “ambiguous and potentially onerous” and urges replacing it with a simple safe harbor or eliminating it.
Businesses urge Treasury to destroy BOI data and finalize exemption
Just over 100 business associations asked Treasury Secretary Scott Bessent to purge previously submitted beneficial ownership information records and quickly finalize a rule exempting U.S. companies from BOI reporting.
IRS will stay fully staffed for first 5 days of shutdown
Treasury posted a lapsed appropriations contingency plan late last week that calls for the IRS to be fully staffed through Friday during the partial government shutdown.
How to ease taxes on inherited IRAs
Inheriting retirement accounts isn’t as simple as it used to be. The 10-year drawdown rule can trigger hefty taxes for heirs. Learn how smart planning can help.
Company lacks standing to sue ERTC advisers
The court dismisses a company’s complaint for failure to show it suffered a “concrete injury” from allegedly erroneous advice to claim the employee retention tax credit (ERTC).
Court upholds IRS authority to suspend EFINs
A district court held that the IRS had not violated a tax preparer’s Fifth Amendment due process rights or the Administrative Procedure Act (APA) when it suspended the preparer’s electronic filing identification numbers (EFINs) and expelled the preparer from the IRS e-file program.
Basketball officials’ association denied Sec. 501(c)(3) status
The association failed to meet both the organizational and operational tests under Sec. 501(c)(3) and failed to qualify as a “qualified amateur sports organization” under Sec. 501(j)(2).
New law, IRS workforce cuts raise red flags for tax season, reports say
Separate reports from two federal oversight bodies warn that the IRS may struggle to maintain service levels between now and April 15, possibly causing delays in tax refunds and in getting answers by phone.
Features
SPONSORED REPORT
How to find the right CAS clients
The key to success with CAS is selecting the best clients. Tools like ideal client profiles (ICPs), buyer personas, and even artificial intelligence can help identify the businesses that best fit each CAS practice.
From The Tax Adviser
February 28, 2026
CPA firm M&A tax issues
February 18, 2026
Why LIFO, why now?
February 10, 2026
Navigating safe-harbor rules for solar and wind Sec. 48E facilities
January 31, 2026
