Last-Minute Tax Deductions You Can Still Claim in 2026

Last-Minute Tax Deductions You Can Still Claim in 2026

Filing season is winding down and you want to make sure you have not missed any deductions before you submit. Some tax-saving moves are only available before December 31 of the tax year — but several can still be captured right up to the filing deadline.

Deductions You Can Still Claim Before Filing

IRA Contributions

You can contribute to a Traditional IRA for the 2025 tax year up until April 15, 2026 and deduct the contribution on your 2025 return (subject to income limits). The contribution limit is $7,000 ($8,000 if you are 50 or older).

If you are not covered by a workplace retirement plan, contributions are fully deductible regardless of income. If you are covered by a workplace plan, deductibility phases out above certain income thresholds.

HSA Contributions

If you have a High-Deductible Health Plan, you can contribute to a Health Savings Account for 2025 until April 15, 2026. The 2025 limits are $4,150 for self-only coverage and $8,300 for family coverage ($1,000 extra if you are 55 or older). HSA contributions are above-the-line deductions — they reduce your AGI even if you take the standard deduction.

SEP-IRA and Solo 401(k) Contributions

Self-employed individuals can contribute to a SEP-IRA or Solo 401(k) for 2025 up until their tax filing deadline, including extensions. A SEP-IRA allows contributions up to 25% of net self-employment income, to a maximum of $69,000 for 2025. This is one of the most powerful last-minute deductions available to the self-employed.

Student Loan Interest

You can deduct up to $2,500 of student loan interest paid in 2025, subject to income phaseouts. This is an above-the-line deduction — it reduces your AGI regardless of whether you itemize.

Itemized Deductions Worth Reviewing

If you are close to the standard deduction threshold ($14,600 single / $29,200 married filing jointly for 2025), it is worth verifying your itemized totals:

Charitable contributions: Cash donations to qualifying 501(c)(3) organizations are deductible if you itemize. Non-cash donations require a written acknowledgment from the charity.

Mortgage interest: The statement from your lender (Form 1098) should be in hand. Interest on up to $750,000 of qualified mortgage debt is deductible.

State and local taxes (SALT): Up to $10,000 of state income taxes, property taxes, and local taxes combined.

Medical expenses: Expenses exceeding 7.5% of your adjusted gross income are deductible. Keep all receipts, including insurance premiums paid out-of-pocket, prescription drugs, and transportation to medical appointments.

Above-the-Line Deductions Available to Everyone

These reduce your AGI whether or not you itemize:

• Alimony paid under pre-2019 divorce agreements
• Self-employment tax (50% of SE tax paid)
• Self-employed health insurance premiums
• Contributions to qualified retirement accounts
• Educator expenses (up to $300 for K-12 teachers)

Business Deductions If You Are Self-Employed

If you freelance, consult, or run a business:

• Home office deduction (regular and exclusive use)
• Business use of your vehicle (standard mileage rate: 67 cents/mile for 2024)
• Software subscriptions, tools, and professional development
• Business portion of your phone and internet bills
• Professional service fees (accountant, attorney)

One You Might Have Overlooked: Energy Credits

The Inflation Reduction Act extended energy-efficient home improvement credits through 2032. If you installed energy-efficient windows, doors, insulation, or HVAC equipment in 2025, you may qualify for a credit of up to $3,200. Credits reduce your tax liability dollar-for-dollar — more valuable than deductions.

Get Your Documents in Order

Before filing, verify you have received:

• All W-2s and 1099s
• Mortgage interest statement (Form 1098)
• Charitable contribution receipts
• Investment account year-end statements
• Business expense receipts if self-employed