Skip to main content

Preparing for Tax Season 2026

What’s New & How MTC Federal Helps You Get Ready

Portrait picture of tax prep 2026-2

January 2026

Preparing for Tax Season 2026: What’s New & How MTC Federal Helps You Get Ready

Tax season doesn’t have to be stressful—especially when you have the right tools and support. At MTC Federal, we make it easier for members to prepare, file, and maximize their refunds with secure digital banking, fast direct deposit, and exclusive member discounts on TurboTax® and H&R Block®. From organizing your tax documents online to opening a savings account for your refund, we provide everything you need to stay ahead this season. Here’s what’s new for 2026 and how MTC Federal helps you make the most of it.

What’s New from the IRS in 2026 🪙

Expanded Deductions Under the “One, Big, Beautiful Bill” (OBBB)

✔️ Tips Deduction: Up to $25,000 in qualified tips ($50,000 joint).
✔️ Overtime Pay Deduction: Deduct the premium portion—$12,500 individually, $25,000 jointly.
✔️ Car Loan Interest Deduction: Deduct interest on loans for qualifying U.S.-assembled vehicles, up to $10,000.
✔️ Senior Deduction: Seniors 65+ get an extra $6,000 deduction ($12,000 married).

All can be claimed using the new Schedule 1-A.

📈 Inflation-Adjusted Brackets & Deductions

  • Standard Deduction: $16,100 (single), $32,200 (married filing jointly), $24,150 (head of household).
  • Tax Brackets remain: 10%, 12%, 22%, 24%, 32%, 35%, 37%.

Boosted Tax Credits

👉🏼 Child Tax Credit: Up to $2,200 per child.
👉🏼 Adoption Credit: Increased to $17,670.
👉🏼 Earned Income Tax Credit (EITC): Maximum $8,231 for filers with 3+ qualifying children.

Disclaimer: Tax laws and deductions can vary based on individual circumstances. The information provided here is for general educational purposes and may not apply to every member’s situation. Always consult a qualified tax professional for personalized advice and visit https://www.irs.gov for the most current and accurate details.

How MTC Federal Helps You Prepare

📥 Direct Deposit: Fast, Secure, and Smart

  • The IRS begins accepting returns on January 26, 2026, and issues most refunds within 21 days of e-filing with direct deposit.
  • Per federal mandate, paper refund checks are being phased out—direct deposit is essential.
  • MTC Federal members can easily add or confirm their account details in digital banking to ensure faster refund delivery.

💻 Digital Banking Convenience

📲 Members can access tax documents like year-end statements and 1099s anytime.
📲 Manage accounts, transfer funds, and verify direct deposit settings securely via web or mobile.
📲 E-file with confidence, knowing your banking information is accurate and secure.

Member Perks: TurboTax® & H&R Block® Discounts 🚀

Thanks to Love My Credit Union Rewards, eligible MTC Federal members can redeem:

  • 20% off TurboTax® federal online products.
  • $25 off H&R Block® expert tax prep. These exclusive offers make it simpler and more affordable to file confidently.

Visit our Member Perks Center for all details, conditions apply.

Smart Ways to Use Your Refund

💡Open a High-Yield Savings Account: Park part of your refund and earn more.
*Terms & conditions apply, see account details
💡Automate Split Deposits: Use IRS Form 8888 to divide your refund across checking and savings.
💡Pay Down Debt or Invest: Prioritize high-interest debts or boost retirement contributions with your windfall.
💡Use MTC Federal’s digital banking portal to set up transfers and track balances.

Not a Member? Join Us This Tax Season and Enhoy:

✔️ Direct deposit via digital banking ensures faster refunds.
✔️ Secure document storage provides easy access to critical tax forms.
✔️ Member-exclusive TurboTax® and H&R Block® discounts lower tax prep costs*
✔️ Savings accounts and transfer tools help make refunds work smarter.

Final Takeaway:
Start early, stay organized, and let MTC Federal simplify your tax season. From direct deposit automation to tax prep savings and high-yield savings options, we’re here to help you file smart and plan for a stronger financial future.

For more information and to take advantage of member perks, visit MTC Federal’s tax season hub.

Sources