IRS clarifies 'no tax on overtime' deduction rules. What workers need to know

IRS updates ‘no tax on overtime’ deduction rules for 2026 Skip Navigation Markets Pre-Markets U.S. Markets Currencies Prediction Markets Cryptocurrency Futures & Commodities Bonds Funds & ETFs Business Economy Finance Health & Science Media Real Estate Energy Climate Transportation Investigations Industrials Retail Wealth Sports Life Small Business Investing Personal Finance Fintech Financial Advisors Options Action ETF Street Buffett Archive Earnings Trader Talk Tech Cybersecurity AI Enterprise Internet Media Mobile Social Media CNBC Disruptor 50 Tech Guide Politics & Policy White House Policy Defense Congress Expanding Opportunity Video Latest Video Full Episodes Livestream Live Audio Live TV Schedule CNBC Podcasts CEO Interviews CNBC Documentaries Digital Originals Watchlist Investing Club Trust Portfolio Analysis Trade Alerts Meeting Videos Homestretch Jim's Columns Education Subscribe PRO Pro News Josh Brown Mike Santoli Calls of the Day My Portfolio Livestream Full Episodes Stock Screener Market Forecast Options Investing Chart Investing Subscribe Livestream Menu Make It select USA INTL Livestream Search quotes, news & videos Livestream Watchlist SIGN IN Create free account Markets Business Investing Tech Politics & Policy Video Watchlist Investing Club PRO Livestream Menu Personal Finance IRS clarifies 'no tax on overtime' deduction rules. What workers need to know Published Tue, Aug 18 2026 10:11 AM EDT Updated 2 Min Ago Sarah Agostino WATCH LIVE Key Points Employers will be required to include the eligible amount of overtime pay on workers' W-2s for 2026. Nevertheless, it will be worth comparing the amount to your pay stubs to ensure it's accurate, experts said. More than 29 million taxpayers claimed the "no tax on overtime" deduction for the 2025 tax year, and the average amount was more than $3,100, according to the Treasury Department. Halbergman | E+ | Getty Images Workers who are eligible for a federal tax break related to their overtime pay may have an easier time claiming it for the 2026 tax year than they did on their 2025 returns. Bu özet bilgilendirme amaçlıdır, yatırım tavsiyesi değildir. — hisseonlinebot