IRS Revises State and Local Tax Deduction Worksheet for High AGI Filers

The IRS has revised the State and Local Tax Deduction worksheet for the 2025 Form 1041 instructions. The revision addresses an issue affecting filers with adjusted gross income over $500,000. Filers who previously used the old worksheet and now qualify for a higher deduction are advised to file an amended return.

IRS Updates to 2026 Form 1040-ES (NR) Reflecting Legislative Changes

The IRS has updated the 2026 Form 1040-ES (NR) to reflect legislative changes from the One Big Beautiful Bill Act. Key updates include changes to the qualified business income deduction, casualty loss deduction, itemized deductions, charitable contributions, certain credits, information reporting, and backup withholding.

IRS Guidance on Energy Credits for Prohibited Foreign Entities

The IRS has issued Notice 2026-15 providing interim guidance on restrictions for certain clean-energy tax credits for entities associated with prohibited foreign entities. This guidance implements statutory restrictions enacted by the One Big Beautiful Bill Act, impacting eligibility for credits claimed on Forms 3468, 7207, and 7211.

IRS Updates 2025 Form 1040 Instructions

The IRS has issued post-release updates to the 2025 Instructions for Form 1040. These changes clarify the net income limitation for qualified tips and the definition of age 65 for enhanced senior deductions for taxpayers who die in 2025.

IRS Delays 2025 Original Issue Discount (OID) Tables Posting

The IRS has announced that the 2025 Original Issue Discount (OID) tables, typically released earlier, will now be posted in mid-2026. Further information regarding this delay and the eventual release of the tables is expected.

CMA Launches UK Heating Oil Market Study

The UK Competition and Markets Authority (CMA) has launched a market study into the retail supply of heating oil for domestic use. The CMA is inviting views from interested parties by April 8, 2026, with a final report expected by June 2026.

IRS Seeks Comments on Electronic Payee Statement Furnishing

The IRS and Treasury Department are seeking public comments on potential modifications to the requirements for electronically furnishing certain payee statements. This includes evaluating current rules for brokers and considering broader applicability to other persons required to furnish payee statements.

IRS Rev. Rul. 2026-07: 2026 Federal Income Tax Rates and AFRs

The IRS has released Revenue Ruling 2026-07, providing the applicable federal rates (AFRs) and adjusted AFRs for April 2026. These rates are used for various federal income tax purposes, including the determination of issue prices for certain debt instruments and calculations for low-income housing credits.

IRS Notice Extends Temporary Relief for Digital Asset Identification Methods

The IRS issued Notice 2026-20 to extend temporary relief for eligible taxpayers using alternative methods to identify digital assets held by brokers. This extension allows for continued use of specific identification methods for digital assets sold or transferred during the relief period, building upon previous guidance.

IRS Notice on Corporate Bond Yield Curve and Segment Rates

The IRS issued Notice N-2026-19, updating the corporate bond monthly yield curve, segment rates, and 30-year Treasury securities interest rates for February 2026. These rates are used for determining minimum funding requirements for single-employer and multiemployer pension plans.