Tax season starts early this year, and with the new changes introduced by the One Big Beautiful Bill Act (OBBBA) passed in 2025, you’ll want to be prepared. Understanding these updates can be a bit overwhelming, but it is crucial to familiarize yourself with the upcoming changes to your tax return. Don’t hesitate to ask for help—whether from a trusted professional or even an artificially intelligent chatbot.
Embracing AI for Tax Preparation
When discussing artificial intelligence with friends, I suggest they treat it like a competent coworker—one that possesses endless energy but may sometimes be a bit off the mark. With advanced models like ChatGPT 5.2 and Claude Opus 4.6, you’re likely to receive more accurate answers than in previous years, especially when it comes to understanding tax-related queries. While chatbots have improved their mathematical capabilities, relying on them exclusively for sensitive matters like tax filing can be risky.
It’s crucial to remember that these AI tools are not designed to submit your taxes for you. You should never upload sensitive documents such as W2 forms or 1099s to these platforms due to the sensitive personal information they contain. For your own security, only share such details on trusted and secure platforms.
Even if you’re using an accountant, chatbots like ChatGPT and Claude can be invaluable for getting up to speed on the new tax code changes. They can help you formulate relevant questions to ask your tax professional and make you aware of deductions you might have missed. Tax filing software companies have introduced their own chatbots as well—Turbotax offers Intuit Assist, and H&R Block has its own AI Tax Assistant. However, user experiences indicate that these chatbots sometimes have limited functionality and tend to upsell other financial products.
Understanding the Changes of the OBBBA
The changes brought about by the OBBBA are substantial. If you’ve grown accustomed to specific tax-filing methods, expect significant changes this year. There are new deductions and credits that may create opportunities for savings, and failing to capitalize on them could mean missing out on money you’re entitled to. It’s recommended to review the IRS guidelines and consult the helpful resources provided by Turbotax and H&R Block for a comprehensive understanding.
Several changes took effect in 2025 that will directly impact your tax returns this year. One notable adjustment includes deductions for taxes on tips and overtime. There’s also an increase in the Child Tax Credit from $2,000 to $2,200, and an expansion of 529 plans, which are now more flexible for education expenses. Additionally, eligible taxpayers can now claim the Trump Child Savings Accounts. Be aware that the IRS Direct File option for online tax filing is no longer available in most states, leading many to rely more heavily on software like Turbotax and H&R Block.
Maximizing Tax Support with AI
Chatbots such as ChatGPT and Claude can facilitate discussions surrounding your taxes, allowing for tailored insights based on your individual circumstances. If you possess a unique financial situation—like combining W-2 employment with freelance earnings, having children, or setting up a side business—the chatbots can guide you through what rules might apply to you, particularly regarding the new regulations.
Start by relaying your family’s details, work situation, and other relevant factors to your chatbot, and inquire about any tax strategies specific to your case. This interactive approach can enhance your understanding and preparedness as you navigate tax preparation, whether via software or in a meeting with a human accountant.
This year, the stakes are higher than ever due to the multitude of changes in the tax code. The IRS is currently grappling with staffing shortages from the previous administration, which has led to significant challenges in service delivery. Taking advantage of available resources can prove beneficial in ensuring you are well-informed and adequately prepared for tax season.
To explore further insights on utilizing AI for your tax preparation needs and understanding the tax code changes, click here.
Image Credit: www.vox.com
