Tax Changes to Know for the 2025 Filing Season 

As we approach the 2025 tax season, several key changes are set to impact taxpayers. Here’s what you need to know:

📈 Increased Standard Deductions

The IRS has raised standard deductions for 2025:

• Married Filing Jointly: $30,000 (up $800)

• Single Filers: $15,000 (up $400)

• Head of Household: $22,500 (up $600)p pace with inflation and reduce taxable income for many taxpayers. 

💰 Earned Income Tax Credit (EITC) Boost

For 2025, the maximum EITC for taxpayers with three or more qualifying children increases to $8,046, up from $7,830 in 2024. This expansion provides additional financial relief to low- and moderate-income working families. 

🏠 SALT Deduction

Republican lawmakers from high-tax states are pushing to raise the State and Local Tax (SALT) deduction cap, which is currently set at $10,000. Proposals range from $30,000 to $100,000, with joint filers potentially benefiting from caps up to $200,000. This change could significantly affect homeowners in states like New York, New Jersey, and California.

🧾 Cryptocurrency Reporting Requirement

Starting in 2025, brokerage firms are mandated to report digital asset transactions using the new Form 1099-DA. This move aims to increase transparency and ensure that cryptocurrency transactions are properly reported to the IRS. 

🛡️ IRS Measures to Combat Scams

The IRS is implementing several initiatives to protect taxpayers:

• Fuel Tax Credit: A new form will be introduced to prevent misuse of the off-highway business and farming credit.

• Review of “Other Withholding” Claims: Increased scrutiny on claims to prevent fraudulent deductions.

• Ghost Preparer Education: Taxpayers will be educated about unregistered tax preparers who may file inaccurate returns. 

📅 Key Dates to Remember

• Tax Filing Deadline: April 15, 2026

• Estimated Tax Payments: Due quarterly, with the first payment typically due in April 2025