The IRS has announced that tax refunds will be higher in 2026 thanks to updated tax rules, new benefits, and changes in how taxes are calculated.
Here’s a summary of what’s new, who will benefit, and how you can make sure to claim your refund.
What’s Changing for 2026 Taxes?
In 2026, several important tax changes will help put more money back in taxpayers’ pockets:
- Tax brackets have been adjusted for inflation, which means many workers will pay less in taxes.
- The standard deduction is increasing to $16,100 for people filing individually and nearly $32,200 for married couples filing jointly.
- The Earned Income Tax Credit (EITC) will expand, giving more support to families with children.
- Changes to withholding tables in 2025 meant some people paid more taxes throughout the year. When filing in 2026, these taxpayers may end up getting a larger refund.
Altogether, these updates are meant to help offset rising costs from inflation and give U.S. households some financial relief.
Why Are Refunds Likely to Be Higher?
In 2025, many employers withheld more taxes from paychecks because IRS tables were not immediately updated. As a result, when people file their taxes in 2026, they may discover they paid more than they owed and will get a bigger refund.
On top of this, the higher standard deduction and expanded tax credits—like the EITC and child tax credit—will help working families and middle- or lower-income taxpayers.
These credits can sometimes provide extra money back, even if you didn’t pay much in taxes for the year.
Overall, these changes are designed to help families save more and spend more, offering some financial relief after recent economic challenges.
How to Claim Your 2026 Refund Quickly and Easily
If you expect a refund in 2026, here are some tips to make sure the process goes smoothly:
- File your tax return early. The sooner you file, the sooner you’ll get your refund.
- Check your withholding information. Make sure your details match what your employer has reported.
- Use available credits. If you qualify for things like the EITC or child tax credit, be sure to claim them.
- Pick direct deposit. This is the fastest and safest way to receive your refund.
- Save your paperwork. Keep all forms like W-2s, 1099s, and any proof of income or deductions to avoid errors or delays.
2026 looks positive for American taxpayers, with higher deductions, bigger credits, and changes that could put more money back into families’ budgets.
Larger refunds can give people a chance to save, pay off bills, or invest as the new year begins.
-
Check out: Stimulus Payments in November 2025: Which States Are Sending Checks?
