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Story summary
- In 2026, U.S. taxpayers can expect substantial refunds from overpayments, according to Treasury Secretary Scott Bessent.
- The One Big Beautiful Bill Act (OBBBA) lets service workers deduct up to $25,000 for tipped income and $12,500 for overtime pay, generating refunds on 2025 returns.
- Older adults will receive an additional $6,000 deduction.
- Taxpayers should adjust withholdings for 2026 to maximize net pay.
