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The Reed Report

Week of August 4–10, 2026

A short rundown of the federal and Indiana tax news our team is watching this week — what changed, what it means, and what deadlines are coming up.

Security

IRS and Security Summit Warn Tax Pros of a New Phishing Wave

The IRS and its Security Summit partners issued a warning to tax professionals about phishing emails and other schemes designed to steal client data. The scams are increasingly convincing, often impersonating official IRS or tax-software communications. As always, our practice verifies anything that asks for sensitive information through a second channel before acting on it — and we’d encourage you to do the same with anything that claims to be from us.

Source: IRS Newsroom

Working Families Tax Cuts

Guidance Issued on the Now-Permanent Paid Family & Medical Leave Credit

Treasury and the IRS issued guidance on the permanent expansion of the employer credit for paid family and medical leave under the Working Families Tax Cuts. The update clarifies how employers can claim the credit going forward now that the provision is permanent rather than subject to year-to-year renewal.

Source: IRS Newsroom

Working Families Tax Cuts

IRS Updates FAQs on the No-Tax-on-Overtime Deduction

The IRS refreshed its frequently asked questions on the qualified overtime deduction, clarifying the limits and timing for the deduction that lets eligible workers deduct up to $12,500 ($25,000 for joint filers) of qualified overtime pay through 2028. Worth noting: the deduction doesn’t make overtime pay tax-exempt — it’s a separate deduction claimed on your return, and payroll withholding is unaffected.

Source: IRS Newsroom

Retirement

Treasury Signals Rules for the New Saver’s Match Program

The IRS announced its intent to propose regulations for the federal Saver’s Match program, a SECURE 2.0 provision beginning in 2027 that replaces the old Saver’s Credit with a direct matching contribution to a retirement account for lower- and middle-income savers. It’s early, but worth watching if retirement plan design is on your radar.

Source: IRS Newsroom

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