Down to the Wire Tax Tips

Tax season is entering its final stretch — or “crunch time”. The IRS filing deadline for 2025 is just over a month away — Wednesday, April 15, 2026. Even if requesting an extension through October 15, 2026, an estimated payment must be made by April 15th to avoid penalties and interest for tax payments due when the return* is ultimately filed in October.

There are a handful of last minute actions that may still be taken for tax year 2025, if completed by April 15th (or September 15th and October 15th, where applicable).

• • Tax deductible (and non-tax deductible) IRA contributions for tax year 2025 can be made up until April 15, 2026.
    • For tax year 2025, the contribution maximum is $7,500, plus an $1,000 catch-up for those age 50 and over.
  • New IRA accounts can be opened and contributions made for tax year 2025 up until April 15, 2026.
    • no better time than right now to begin contributing to a Roth IRA for those whose income qualifies!
    • especially for young people, and ALL who qualify, look at the Roth IRA!
    • same contribution limits for Roth IRA as Traditional IRA.
  • For SEP-IRAs (IRAs for self-employed business owners) there are less last minute actions due by April 15th as most SEP IRA taxpayers file on extension. But if not on extension, the April 15th deadline applies for SEP-IRA filers. Consult with your tax professional!
    • for tax year 2025, max contributions for SEP-IRAs are higher at up to $70,000.

In addition, after April 15th, based on a taxpayer’s final 2025 tax filing, adjustments can be made at any time — again, sooner is better — for the current 2026 tax year. For example:

• • current year 401k contributions can be adjusted to a mix of pre-tax and Roth 401k — or outright Roth 401k. Discuss with a tax professional!
  • withholding rates through payroll can be adjusted for improved 2026 cash flow and tax planning.
  • if new to receiving Social Security, elect the optimal withholding rate as advised by a tax professional for improved 2026 cash flow and tax planning.
  • the same applies to required minimum distributions from IRA and inherited IRA accounts — adjustments can be made at any time to tax withholding rates on IRA distributions not yet taken.
  • Thoughtful conversations — particularly prior to the April 15 filing deadline — can turn both this year’s and future tax seasons into a strategic advantage.

*A common mistake is referring to a tax refund as “the return”. The return is the document filed: the tax return. The money (if any) refunded is called a refund.

Consult with a tax professional on ALL tax matters and tax planning. This material has been prepared for informational purposes only and is not intended to provide, and should not be relied upon for, tax, legal or accounting advice.