A Fresh Start for the 2026 Tax Season — What Houston Families, Workers & Small Businesses Should Prepare For
The 2026 tax season is officially on the way, and this year brings several updates that taxpayers across Houston should be aware of. Whether you're self-employed, working a traditional W-2 job, running a small business, or caring for a family, understanding these changes early can help you stay organized and confident as you gather your documents.
This guide breaks down what’s new for the 2025 tax year (filed in early 2026), what may affect your refund, and what steps you can take now to get ahead — all explained in simple, community-friendly language.
What’s New for the 2026 Filing Season?
The IRS made several adjustments for the 2025 tax year. Here’s what individuals and small businesses in Houston should know:
1. Updated Tax Brackets for 2025 Income
Each year, tax brackets adjust for inflation. For 2025, many taxpayers will see:
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Slightly higher bracket thresholds
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Adjustments that may lower your tax bill depending on your income
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A different tax outcome for bonuses, gig income, and second jobs
To understand how these changes may affect you, review our breakdown here:
👉 Understanding the 2024 Tax Bracket Changes
https://mybusinessalternatives.com/tax-pulse/understanding-the-2024-tax-bracket-changes-what-you-need-to-know
(We will update the article again once the IRS releases the full 2025 bracket breakdown.)
2. Increased Standard Deduction
Many Houston taxpayers rely on the standard deduction, and it’s increasing again for the 2025 tax year.
This means:
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More income becomes tax-free
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Fewer people will need to itemize
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Some households may see slightly higher refunds
Read our simple guide here:
👉 Recent Updates to the Standard Deduction
https://mybusinessalternatives.com/tax-pulse/recent-updates-to-the-standard-deduction-what-taxpayers-should-know
3. New IRS Identity Verification Requirements
The IRS continues to strengthen identity procedures due to rising digital fraud and data breaches.
Houston taxpayers — especially those who moved, changed jobs, or updated mailing addresses — may experience:
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More frequent ID verification requests
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Delayed refunds if verification isn’t completed quickly
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Letters requiring you to confirm your identity online or in person
Learn more here:
👉 IRS Identity Verification Requirements
https://mybusinessalternatives.com/tax-pulse/irs-update-new-identity-verification-requirements-with-id.me-what-taxpayers-need-to-know
4. IRS Processing Improvements (Finally!)
After years of backlogs, the IRS says it has:
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Improved digital processing
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Reduced wait times on phone lines
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Faster acceptance of returns
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Better matching tools to avoid mistaken notices
This is especially important for Houston, where many taxpayers dealt with delays after the hurricanes and winter storms of previous years.
5. Important Updates for Self-Employed & Small Business Taxpayers
Houston has one of the largest populations of self-employed workers in the country — including drivers, creators, cleaners, caregivers, barbers, stylists, and contractors.
For 2026 season, here’s what to expect:
✔ More 1099-K and gig-platform matching
Expect tighter reporting from DoorDash, Uber, Lyft, Instacart, and content platforms.
✔ More Schedule C documentation requests
The IRS is focusing on:
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Mileage logs
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Income vs. deposits
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Business receipts
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Proof of business purpose
✔ IRS error letters may continue
Last year, the IRS issued incorrect 1099-NEC mismatch letters due to system errors. This season, the IRS says those issues are being corrected — but taxpayers should still double-check notices.
Full explanation here:
👉 IRS 1099-NEC Error Letters — What You Should Know Before Amending
https://mybusinessalternatives.com/tax-pulse/irs-1099-nec-error-letters-what-our-community-should-know-before-amending-taxes
Houston-Specific Things to Know for the 2026 Season
1. Weather-related relief may still apply
Houston regularly receives IRS disaster extensions depending on storm activity. If major weather events occur before tax season, the IRS may delay deadlines.
2. Credit eligibility changes matter for Houston families
Because Houston has many households with childcare expenses, multiple jobs, and dependents, updates to:
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The Child Tax Credit
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Dependent Care Credit
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EITC
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Education credits
can significantly impact refunds.
3. Many Houston residents move each year
If you moved:
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Update your address with the IRS ASAP
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Ensure tax documents go to the correct location
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Expect possible identity verification
How to Get Ready Before Filing Opens
✔ Gather your documents early
W-2s, 1099-NEC, 1099-K, 1099-INT, tuition forms, childcare statements, and business receipts.
✔ Update your personal information
Mailing address, bank information, and dependents.
✔ Upload everything to your secure portal
Documents submitted early help speed up review.
✔ Ask questions now — before filing
If anything changed during 2025, it’s better to review it early.
How My Business Alternatives Supports Houston This Tax Season
At My Business Alternatives, my goal is to help Houston taxpayers stay informed, prepared, and confident — without confusion or overwhelm.
Here’s how I support you this season:
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✔ Personalized tax preparation
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✔ Refund advance options (when available)
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✔ Secure portal for document uploads
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✔ Small business + Schedule C support
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✔ IRS notice review
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✔ Filing for self-employed and families
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✔ ID verification assistance
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✔ Year-round tax planning
👉 Join the MBA Client Portal:
https://mybusinessalternatives.com/client-portal
👉 Schedule a Tax Questions Consultation:
https://mybusinessalternatives.com/contact
Related Posts to Help You Prepare
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Recent Updates to the Standard Deduction
https://mybusinessalternatives.com/tax-pulse/recent-updates-to-the-standard-deduction-what-taxpayers-should-know -
Understanding the 2024 Tax Bracket Changes
https://mybusinessalternatives.com/tax-pulse/understanding-the-2024-tax-bracket-changes-what-you-need-to-know -
IRS Identity Verification Requirements
https://mybusinessalternatives.com/tax-pulse/irs-update-new-identity-verification-requirements-with-id.me-what-taxpayers-need-to-know -
IRS 1099-NEC Error Letters
https://mybusinessalternatives.com/tax-pulse/irs-1099-nec-error-letters-what-our-community-should-know-before-amending-taxes
Final Thoughts From My Business Alternatives
As we get closer to the 2026 tax season, staying prepared is the best way to reduce stress and avoid surprises. My goal is always to provide our community with clear information about what is, what to expect, and how to stay ready — without taking a position on tax law changes.
I’ll continue sharing updates as the IRS releases new information for the 2025 tax year.
