Your 2025 individual income tax returns are due Wednesday, April 15, 2026. We can promise to have your returns completed and back to you in time for filing only if your completed organizer and tax information are in our office by Tuesday, March 3, 2026. Please plan to return your signed E-file authorization forms to us no later than Monday, April 6, 2026.

Entity returns are due on various dates outlined in the schedule attached to this letter. Please review the deadlines for when data needs to be submitted to our office, as well as the filing and extension dates. Kindly pass this letter along to your bookkeepers so they can ensure your data is provided to you and to us in a timely manner.

Organizers - Please complete your data organizer as thoroughly as possible. The better organized you are, the faster your income tax returns can be completed which, in turn, will reduce the preparation time and costs. Please let us know if you would like your original tax data returned to you. We are planning to use CCH ProSystems to process your 2025 income tax returns. We have used CCH ProSystems services for over thirty-five years, and we have been very pleased with their confidential and professional processing of returns.

Completing an Organizer - Please review your organizer carefully. Cross out any items that are pre-printed, but no longer apply to you (children filing their own returns, bank accounts, etc.). If you receive W-2's, 1099's, brokerage statements, K-1's, clip them to the appropriate pages in the organizer. There is no need to rewrite this information. The organizer is a guide for you to gather the paperwork we will need to prepare the return.  Please keep your organizer until it is complete.  If you always have a late K-1 however, send everything else and note what you are waiting for.  If you upload your data, please request a link from our office when your data is substantially complete. Additionally, we would like to inform you that all original documents are scanned for electronic retention purposes. Please indicate if you would like your originals returned to you. New this year, please complete your banking information as new government regulations require refunds to be issued through direct deposit only, no more checks will be issued.

SafeSend Return Delivery - We will continue to deliver all tax returns electronically via SafeSend. SafeSend is a safe delivery method that protects your data and allows you to review your returns, electronically sign e-File forms, pay tax due payments and estimates. If your email address has changed, please inform us so we can update SafeSend and our records.

Please note that if you availed yourself of Advance Premium Credits for your health insurance and the amount of such credit taken is higher than the allowed based on your Modified Adjusted Gross Income you will still be required to repay the excess credit so taken on your 2020 federal tax return. It is imperative to submit with your tax data to us any Form 1095-A, 1095-B or 1095-C you will receive from your health insurance provider so that we can correctly prepare the applicable form on your federal tax to reconcile the Advance Premium Credits.  Failure to do so will result in delays of your tax return processing by the taxing authority and generally the IRS will issue a notice requiring you to submit the credit reconciliation form before your filed federal tax return can be processed.  

 

          Tax Refunds

          We kindly request that you please provide your banking information on the tax organizer. Due to new government regulations, tax refunds will now be directly deposited into your bank account. No more paper checks will be issued. 

         Note: “One Big Beautiful Bill Act” is a political nickname commonly used to describe a large Republican tax-and-budget package that builds upon and extends provisions of the 2017 Tax Cuts and Jobs Act (TCJA).

Individual Income Taxes

• Retains the lower marginal income tax rates introduced by the TCJA, preventing scheduled increases.

• Maintains the seven-bracket tax structure, with brackets indexed annually for inflation.

• Makes the higher standard deduction permanent, significantly reducing the number of taxpayers who itemize.

• Continues the elimination of personal exemptions, with the higher standard deduction and credits intended to offset the loss.

Family & Household Provisions

• Maintains an expanded Child Tax Credit relative to pre-2017 law.

• Allows higher credit amounts for qualifying children, with income-based phaseouts for higher earners.

• Keeps the refundable portion of the credit limited compared to broader expansion proposals.

• Consolidates family tax benefits into credits rather than personal exemptions.

Itemized Deductions

• Temporarily increases the State and Local Tax (SALT) deduction cap above the $10,000 TCJA limit.

• Applies income-based phaseouts that reduce or eliminate the SALT benefit for higher-income households.

• Caps the tax value of itemized deductions for high-income taxpayers, limiting the benefit of deductions at top marginal rates.

• Retains TCJA-era limits on mortgage interest deductions and does not restore pre-2017 thresholds.

• Starting in 2026, overall itemized deductions are being decreased by approximately 5.4% for taxpayers in the highest tax bracket which is a similar mechanic to the former phaseout rules.

Work-Related & Targeted Deductions

• Creates a temporary deduction or exclusion for qualifying tip income, aimed at service-sector workers.

• Allows a temporary deduction for qualifying overtime compensation, primarily benefiting hourly workers.

• Introduces a limited deduction for interest paid on qualifying automobile loans, subject to income limits and eligibility rules.

• Most targeted deductions include sunset dates and phaseouts.

Charitable Giving

• Allows taxpayers who take the standard deduction to also deduct charitable contributions.  Applies for 2026 and beyond.  Deduction is $1,000 for single filers and $2,000 for married filing jointly.

• Includes annual caps on deductible amounts to limit revenue loss.  Applies to tax years 2026 and beyond.  Reduces overall charitable deduction by 0.5% of the total Adjusted Gross Income. 

       We are looking forward to working with you again this year.

Jorstad Incorporated

Timothy Jorstad

Rado Simeonov

John Kirk

Michael Stites