I Asked ChatGPT Which Tax Changes in 2026 Could Affect Your Refund the Most — Here’s What It Said
Written by
J. Arky
Edited by
Zuri Anderson
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The 2026 tax season is well under way, and there are plenty of tax law changes that could shake up your financial situation.
Whether it’s a bigger refund or more tax savings to take advantage of, getting these boons start with understanding the fine print.
GOBankingRates asked ChatGPT which tax changes could impact your 2026 refund most significantly. The results are below, but before taking any of the artificial intelligence’s answers verbatim, consult with a human tax professional on any financial decisions.
Expanded Standard Deduction and Tax Brackets
For the 2026 filing season, standard deductions have increased, meaning more of your income is shielded from tax, which can reduce your tax liability and may raise your refund, according to ChatGPT.
“Federal income tax brackets have also been indexed for inflation, so unless your income grows significantly, you may stay in a lower bracket and owe less tax,” ChatGPT explained, noting that these changes stem from the ongoing implementation of tax law reforms enacted in 2025.
Higher Child Tax Credit and Other Family-Related Credits
ChatGPT highlighted that the Child Tax Credit for qualifying children will increase, which directly lowers the amount of tax you owe and can boost your refund if you are eligible.
“In addition, other family-related credits such as the Earned Income Tax Credit and the adoption credit have higher limits for 2026, offering potential increases in refund amounts depending on your income and family situation,” ChatGPT noted.
Expanded SALT Deduction Cap
ChatGPT found that the deduction cap for state and local taxes (SALT) has been raised significantly for tax years through at least 2029.
“Homeowners in high-tax states who itemize can deduct more of their property and state income taxes on their federal return, which could lower their taxable income and increase their refund relative to prior years,” ChatGPT commented.
New and Expanded Deductions
“Several new deductions will appear on 2025 tax returns filed in 2026, such as deductions for overtime pay, qualified tips and certain car loan interest,” the AI chatbot described.
“A special additional deduction for taxpayers age 65 and older also applies through 2028, giving older filers an extra way to reduce taxable income and potentially increase refunds if they have significant qualifying amounts,” highlighted ChatGPT.
Charitable and Non-Itemizer Deductions
For 2026, ChatGPT pointed out that taxpayers who do not itemize their deductions can again claim a limited deduction for cash contributions to qualified charities.
“This change lowers taxable income for some filers and may increase their refunds slightly compared with prior years when that deduction was unavailable,” ChatGPT noted.
Changes to Direct Deposit and Refund Processing
ChatGPT found that the IRS is modifying how refunds are issued for returns without direct deposit information or with rejected bank details.
“If your refund is frozen due to missing or invalid direct deposit data, you must respond to a CP53E notice with updated information or ask for a paper check, which could delay when you receive your refund,” ChatGPT described.
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