Income Tax News
Follow federal and state income tax developments, from new forms and filing guidance to legislation, rate changes, credits, and tax relief.
IRS Gives Drought-Affected Farmers More Time to Replace Livestock
Farmers and ranchers with qualifying drought-related livestock sales have more time to buy replacements and defer income tax on gains. For eligible calendar-year taxpayers, a replacement deadline ending in 2026 extends through at least December 31, 2027.
Kentucky Announces a $3,470 Standard Deduction for 2027
Kentucky raises its standard deduction to $3,470 for 2027 through its annual inflation adjustment. The increase is about 3.3%. An example shows how the effective tax rate stays steady when income and the deduction rise together.
Montana Governor Backs a 4.7% Flat Income Tax
Governor Greg Gianforte supports a proposed 4.7% flat income tax ahead of Montana's 2027 legislative session. The plan is separate from the enacted 5.4% top rate for 2027 and still requires a change in law.
Rhode Island's Millionaire Income Tax Starts in 2027
Rhode Island's new surtax begins in 2027 on taxable income above $1 million. The rate rises in three stages through 2029, while the budget also adds tax relief for eligible families and Social Security recipients.
IRS Gives Drought-Affected Farmers More Time to Replace Livestock
Farmers and ranchers with qualifying drought-related livestock sales have more time to buy replacements and defer income tax on gains. For eligible calendar-year taxpayers, a replacement deadline ending in 2026 extends through at least December 31, 2027.
Third 2026 Estimated Income Tax Payment Is Due September 15
The third 2026 estimated income tax payment is due September 15. Compare earlier payments and withholding with your latest income estimate. A summer investment gain or taxable retirement withdrawal may affect what remains to be paid.
South Carolina Issues Guidance on Its New 2026 Income Tax Rules
South Carolina's latest guidance explains the new two-rate structure and income-based deduction. Taxpayers making estimated payments should review the changes rather than rely on the lower top rate alone.
Indiana Opens Tax Amnesty Through September 9, 2026
Indiana's amnesty window covers eligible debts for tax periods ending before 2024. Taxpayers have until September 9 to enroll and pay, or arrange an amnesty payment plan.
IRS Announces Automatic Penalty Relief for Eligible Taxpayers
Eligible taxpayers will receive relief from certain IRS penalties without requesting a waiver. The summer transition begins with 2025 annual and 2026 quarterly returns. Tax and interest remain due, and some notices still require follow-up.
Carlos Mencia Charged With Failing to File California Tax Returns
California prosecutors allege six years of missing personal and corporate returns. Mencia pleaded not guilty on June 22. The case highlights the difference between an overdue return and an allegation of deliberate tax evasion.
Second 2026 Estimated Income Tax Payment Is Due June 15
The second 2026 estimated income tax payment is due June 15. Changes in business income, retirement withdrawals, or withholding may warrant a fresh calculation. If your circumstances are steady, the planned payment may still fit.
Maine Revises Its 2026 Tax Schedule to Include a 2% High-Income Surcharge
Maine's revised 2026 schedule adds a 2% surcharge on taxable income above filing-status thresholds. The regular rates remain unchanged, and only the income above the applicable threshold faces the extra tax.
Georgia Cuts Its Income Tax Rate to 4.99% for 2026
Georgia lowers its income tax rate from 5.19% to 4.99% and raises standard and dependent deductions for 2026. The changes apply from January 1, giving eligible taxpayers relief for the full tax year.
Arkansas Cuts Its Top Income Tax Rate to 3.7% for 2026
Arkansas reduces its top individual income tax rate from 3.9% to 3.7% for 2026. The cut applies to the full tax year and keeps the lower rates and existing bracket thresholds in place.
First 2026 Estimated Income Tax Payment Is Due April 15
The first 2026 estimated income tax payment is due April 15. It is separate from any balance owed on a 2025 return. Review the new year's estimate and use the correct tax year when paying.
West Virginia Signs a 5% Income Tax Rate Cut for 2026
West Virginia's new law cuts all five income tax rates for 2026, bringing the top rate down to 4.58%. The reduction applies from January 1, with existing bracket thresholds unchanged.
Utah Cuts Its Income Tax Rate to 4.45% for 2026
Utah lowers its flat income tax rate from 4.50% to 4.45% for the full 2026 tax year. The cut saves $5 per $10,000 of taxable income before credits, with the taxpayer tax credit still affecting the final bill.
IRS Warns Nonfilers to Claim 2022 Refunds Before April 15
The IRS estimated that more than 1.3 million people had unclaimed 2022 income tax refunds. Its March reminder urged filing by April 15, 2026. Prior-year forms and income records help taxpayers determine what they can claim.
Indiana Cuts Its Income Tax Rate to 2.95% for 2026
Indiana starts 2026 with a 2.95% state income tax rate, down from 3.00%. The reduction saves $40 on $80,000 of taxable income before credits. County income taxes still apply separately and can affect the total bill.
Oklahoma Cuts Its Top Income Tax Rate to 4.50% for 2026
Oklahoma replaces its six-rate schedule with a zero-rate band and three lower rates for 2026. Single filers with $80,000 or $160,000 of unchanged taxable income save about $226 or $426 before credits.
Ohio Adopts a 2.75% Income Tax Rate for 2026
Ohio eliminates its 3.125% top rate for nonbusiness income. At unchanged taxable income, the new schedule saves $10 at $80,000 and about $254 at $160,000 before credits. The calculation still includes a base tax.