In mid-November 2025, Pennsylvania Governor Josh Shapiro signed the $50.1 billion state budget, which prioritizes tax relief for working families, expanded school funding, and strengthening of the workforce. One new item introduced is an earned income tax credit that will provide over $193 million in tax relief for working families in Pennsylvania.
The IRS released Notice 2025-62 to give employers and payroll providers more time to adjust to certain reporting requirements created by the One Big Beautiful Bill Act (OBBBA). The law introduced two new deductions for employees who receive tips or overtime pay beginning in 2025, and those deductions were expected to rely on new data fields on Forms W-2 and 1099. Those fields have not yet been finalized, and many payroll and point-of-sale systems are not equipped to capture the information. The IRS is treating 2025 as a transition year and will not enforce the new reporting elements until 2026.
In mid-November 2025, Pennsylvania Governor Josh Shapiro signed the $50.1 billion state budget, which prioritizes tax relief for working families, expanded school funding, and strengthening of the workforce. One new item introduced is an earned income tax credit that will provide over $193 million in tax relief for working families in Pennsylvania.
In November 2025, the IRS announced that interest rates will remain the same for the first quarter of 2026, which begins January 1, 2026.
Organizations that receive federal funding are held to a high standard of accountability. To meet this standard, many must undergo what is known as a Single Audit. The requirement was introduced several decades ago to replace several program-specific audits with one comprehensive review. Since then, the rules have changed, including periodic increases to the dollar threshold that determines who must have the audit.
As previously reported, President Trump signed Executive Order 14247 on March 25, 2025, which would change how the federal government handles payments by phasing out paper options (such as checks and money orders) and mandating electronic options as much as possible. On September 23, 2025, the IRS and US Treasury announced that tax refund checks for individual taxpayers will be phased out starting on September 30, 2025, to the extent allowable by law.
In August 2025, the IRS announced that interest rates will remain the same for the fourth quarter of 2025, which begins October 1, 2025.
The State of New Jersey’s Affordable New Jersey Communities for Homeowners and Renters (ANCHOR) property tax relief program officially opened for 2025 in August. On August 13, the state’s Treasury Department started sending notification letters to New Jersey taxpayers, confirming their eligibility and informing them that their ANCHOR applications will be filed automatically by the state, beginning September 15, 2025. This year’s ANCHOR benefits are based on the taxpayer’s residency, income, and age from tax year 2024.
When the One Big Beautiful Bill Act (OBBBA) became law on July 4, 2025, it brought major updates to tax policy and federal spending. The changes affect everything from how individuals claim deductions to how corporations make gifts, along with adjustments to several major federal programs. For nonprofits, these changes will likely influence donor behavior, and in some cases, the amount of help people seek from community organizations.
There are four different types of financial statement services that a Certified Public Accountant (CPA) can provide, including preparation, compilation, review, and audit engagements.
