NEWTOWN, PENNSYLVANIA - MAY 14: Scottie Scheffler of the United States plays his shot from the 12th tee during the first round of the PGA Championship at Aronimink Golf Club on May 14, 2026 in Newtown, Pennsylvania. (Photo by Jamie Squire/Getty Images)Getty ImagesI am excellent at mini-golf, but not so terrific at golf-golf. To be fair, despite the fact that I grew up not so far from a number of golf courses, I didn’t really know much about the game until I met my father-in-law. He loved golf—playing and watching—and that happened to coincide with Tiger Woods in top form, which made it immediately appealing.So, when tour buses rolled into town this week for the PGA Championship, I knew that I’d want to write about it (and taxes, of course). I was fortunate enough to connect with Wealthspire’s Frank Marzano (a CPA and a golfer), who walked me through some of the basics. And while I expected some of our conversation—players earn income from tournament winnings and endorsements, and manage deductible business expenses such as travel and professional advisors—I still learned a lot. My entire family now knows that caddies are typically issued a Form 1099.I’ll admit, though, that I was especially interested in the cross-state and cross-border tax consequences. Winnings from this year’s PGA Championship are generally Pennsylvania-source income, meaning even golfers who live in no-income-tax states like Florida or Texas (looking at you, Scottie Scheffler) may owe Pennsylvania tax, while residents of high-tax states like California could owe much more after credits. Non-U.S. golfers like Rory McIlroy may also face U.S. withholding and filing obligations.Something to keep in mind as you cheer (or quietly golf clap) this weekend. Travel is also on the minds of parents and others looking at potential summer vacations. With gas prices still soaring, President Trump and lawmakers in both parties are considering suspending the federal gas tax. The 18.4-cent-per-gallon gas tax has not been raised since 1993 and is already insufficient to support the Highway Trust Fund, which is projected to become insolvent in 2028. Suspending the tax would create an estimated $23 billion annual shortfall, and once the levy is paused, lawmakers may find it politically impossible to reinstate it. The risk is that suspending the gas tax would reinforce a familiar pattern: Congress creates dedicated trust funds for specific programs, then underfunds them, cuts their revenue sources, and relies on borrowing to keep benefits or projects going. (Of course, federal gas taxes are in addition to state gas taxes, which means that several states are enacting or considering temporary gas holidays as fuel prices rise.)It’s not just gas prices that can be stressful. Gas pump card skimmers can turn a summer road trip into a fraud headache by stealing payment card data when drivers swipe, insert, or tap at the pump. These devices may be attached externally, hidden inside the pump, or paired with cameras or keypad overlays to capture PINs. The FBI estimates that card skimming costs consumers and financial institutions more than $1 billion each year. Drivers can reduce their risk by comparing pumps for mismatched parts, using pumps near the store, and choosing tap-to-pay, mobile wallets, or credit cards instead of debit cards when possible. Anyone who suspects their card was skimmed should contact their bank immediately, freeze or replace the card, monitor transactions, and report the suspicious pump to the station, police, and the FBI’s IC3.Also causing anxiety this year? Social Security. Americans remain strongly attached to the program, which faces real uncertainty: The Old-Age and Survivors Insurance Trust Fund is projected to run short around 2033, potentially triggering a 23% across-the-board benefit cut if Congress does not act. Likely fixes could include some mix of higher taxes, a gradually increased full retirement age, and benefit reductions for higher-income retirees, though experts expect lawmakers to try to shield current and near-term beneficiaries from the harshest changes. None of it is particularly politically appealing.But there are issues that individuals can address in the meantime—and our slate of writers and experts tackled many of those recently. A series of stories (and a webinar) answered popular questions and offered advice, including a planning lesson about claiming benefits early: It’s often misunderstood as “safe,” but waiting may better protect against the risk of outliving your money. Delaying benefits can be especially valuable for higher-earning spouses because it may increase survivor benefits, while retirees can use the gap years before claiming to consider Roth conversions or build a stable source of income to cover spending needs.If retirement is on your mind, check out the stories—including one from a few weeks ago about my mom’s own struggle to collect Social Security benefits after my dad died. I received a lot of reader email after the story first ran a few weeks ago. A lot of readers could relate to it, and many others had other questions about the impact of a loved one’s death on taxes, retirement, and what to do with all of the stuff—not just furniture and collections, but also financial papers. We turned your questions and comments into a series that begins on May 16 (you can even get a glimpse of some of the things in Dad’s Coca-Cola collection on May 17). I’ll have more in the next newsletter.And speaking of next week, I’m excited to be joining the accounting, investment, and technology communities, and Black Ore, at Nasdaq Tower for the industry's first AI Tax Summit. I can’t wait to hear more from the accounting profession about what they're actually seeing from AI, how they're reshaping their firms, and where they're investing for the future. If you’re planning to be there, please stop by and say hello. I’d love to meet you. In the meantime, may your drives stay straight, your putts drop kindly, and your tax questions never land in the rough.Enjoy your weekend,Kelly Phillips Erb (Senior Writer, Tax)This is a published version of the Tax Breaks newsletter, you can sign-up to get Tax Breaks in your inbox here.QuestionsThere was a new enhanced deduction for seniors for the 2025 tax year.gettyThis week, a reader asks:I forgot to claim the extra senior deduction. I checked the box on page 2 for the other deduction that said I was born before January 2, 1961. Will the IRS catch it, or do I need to file an amended return?I wouldn’t count on the IRS to automatically adjust your return for the missed enhanced senior deduction (sometimes called “no tax on Social Security”).When you checked the age box on page 2 of your Form 1040 or 1040-SR, you claimed the regular additional standard deduction for seniors ($2,000 for single filers or $1,600 for married filers). If you miss that box, it’s often caught by the IRS because it’s tied directly to the checkboxes on the front of your Form 1040. The new, temporary, enhanced senior deduction, worth up to $6,000 per eligible senior, or up to $12,000 on a joint return if both spouses qualify, is different. It is calculated on a new Schedule 1-A. If Schedule 1-A is missing, that’s likely treated as a missed deduction claim rather than a simple math error.Your best bet is to file an amended return, but wait until your original 2025 return is processed—if you’re not sure if that’s happened yet, you can check your online account. Then, file Form 1040-X with the new Schedule 1-A to calculate the $6,000 (or $12,000 if you’re married and both over age 65) deduction. One quick caveat: Don’t amend if there’s no tax benefit. Check your original return—specifically lines 15 and 16. If line 15 is already $0, then an additional senior deduction generally won’t reduce your tax, because there is no taxable income left to reduce. You can also check line 16—if the tax is already $0, amending it will likely not produce a federal refund unless another item is affected.Finally, watch the phaseout. The enhanced senior deduction begins to phase out when your modified adjusted gross income exceeds $75,000 for an individual, or $150,000 for married taxpayers filing jointly. It is fully phased out at $175,000 for individuals and $250,000 for joint filers. If you’re already phased out, there’s no need to claim the deduction.Statistics, Charts, and GraphsThe Social Security Administration has released its list of the most popular baby names.Kelly Phillips ErbLiam and Olivia again topped the list of the most popular baby names in the U.S. for 2025, according to Social Security Administration data based on 3,593,747 card applications for babies born in the 50 states and D.C. You can see the remainder of the top 10 in the table. (The SSA treats alternate spellings as separate names, which is why names like Sophia and Sofia—or Liam and William—can both appear in the rankings.)Social Security began compiling the baby name list based on applications for Social Security numbers. Newborns typically receive Social Security numbers at birth, which comes in handy at tax time. An SSN is generally required for parents to claim a child as a dependent and to access benefits such as the child tax credit, additional child tax credit, and earned income tax credit. It may also be needed for bank accounts, 529 plans, certain government benefits, and the new section 530A accounts, popularly called Trump accounts.If you head over to the site, you can find data going back to 1880, which means that you can find names that were popular when you were a child. You can sort the data by all kinds of criteria, including gender. Since I was named after a man that used to give my parents extra Lance crackers (true story), it was fun to click through and see how that compared. I’m warning you in advance: It’s a rabbit hole. Taxes From A To Z: S Is For Safe HarborS is for safe harbor.gettyA safe harbor is a rule that treats a taxpayer as having satisfied a requirement if they meet specified conditions. The IRS may establish safe harbors through regulations, revenue procedures, notices, or other guidance. What the guidance typically does is advise that if you meet the criteria, the IRS will accept the treatment or will not impose a particular penalty.A common example is the estimated tax safe harbor. For estimated tax payments, the IRS safe harbor generally allows you to avoid an underpayment penalty if you paid in at least 90% of the current year’s tax or 100% of the prior year’s tax through withholding and estimated payments. For higher-income taxpayers, the prior-year safe harbor is generally 110% of the prior year’s tax rather than 100%. This does not mean you have fully paid the final tax liability, but it means you met the IRS benchmark for avoiding the underpayment penalty.Tax TriviaLike U.S. parents, French parents are usually free to choose their children's names. But in 2015, a French court stopped parents from naming their baby girl after what food, ruling that it would make her the target of derision? (A) Brie (B) Dijon (C) Nutella (D) SundaeFind the answer at the bottom of this newsletter.Positions And GuidanceThe IRS announced a time-limited settlement offer for eligible conservation easement and historic preservation easement disputes, covering more than 1,100 pending cases. Eligible partnerships can settle within 90 days with no charitable deduction, an “other deduction” generally tied to out-of-pocket costs, and a 10% penalty, with less favorable terms available for an additional 45 days.The IRS has released Revenue Ruling 2026-11, which sets the monthly prescribed rates for federal income tax purposes, including the applicable federal rates, adjusted applicable federal rates, adjusted federal long-term rate, and adjusted federal long-term tax-exempt rate, as determined under section 1274. It will appear in IR Bulletin 2026-24, dated June 8, 2026. The ABA Section of Taxation urged the IRS to withdraw proposed regulations under section 148, arguing that the rule is not a clarification but a new restriction that would limit issuers’ and conduit borrowers’ ability to allocate bond proceeds for project costs. The comments warn that the proposal could burden complex, multi-source financings—especially projects awaiting grant or other long-term funding—and request a hearing so stakeholders can address the potential impacts.The American Institute of Certified Public Accountants (AICPA) submitted 193 recommendations for the IRS’s 2026–2027 Priority Guidance Plan, covering issues across its ten technical panels. The group asked the IRS to prioritize practical, simplified guidance, including safe harbors, clear definitions, consistent drafting, and rules calibrated to taxpayer sophistication.NoteworthyThe AICPA’s Auditing Standards Board approved a new standard modernizing external confirmation procedures, including new requirements for confirming cash and cash equivalents held by third parties and updated guidance for digital, intermediary-driven audit evidence.Key Figures$124.7 billionKelly Phillips ErbThat’s the most recent budget number from New York City Mayor Zohran Mamdani, the largest in city history. He got there after scaling back some campaign promises and negotiating state aid to close an estimated $5 billion gap. Since the mayor cannot raise income taxes unilaterally, his proposed tax hikes on high earners and corporations largely did not materialize. Instead, the budget relies in part on a pied-à-terre tax on high-value second homes, which the mayor expects to raise $500 million, though the comptroller estimates that it will be less.The budget balances near-term political and fiscal pressures, but it raises longer-term concerns. A pension re-amortization maneuver provides more than $2 billion in short-term relief by deferring pension payments, which could increase future costs and attract scrutiny from credit rating agencies. Business leaders have also warned that higher taxes or anti-business signals could prompt firms to expand elsewhere, potentially weakening the city’s future tax base.Trivia AnswerThe answer is (C) Nutella.Nutella is a delicious hazelnut spread (but apparently not a name).gettyThe judge ordered that the child be called Ella instead, noting that the name Nutella was the trade name of a (frankly, delicious) spread. "And it is contrary to the child's interest to have a name that can only lead to teasing or disparaging thoughts," he pronounced.French parents are usually free to choose their children's names, but local prosecutors can report names they deem unsuitable. The U.S. has similar state and local restrictions, but most stem from state vital-records rules governing what can appear on a birth certificate. Those rules often involve practical limits like no numbers, symbols, extremely long names, or characters that the state system cannot process.Worth A Second LookThe links, clips, and tax takes readers loved (and a few you may have missed):Best Places To Retire In 2026: Green Valley, Arizona And Other Surprisingly Affordable SpotsSupreme Court Says Nonprofits Can Challenge Government Requests For Donor InformationYou can find last week’s newsletter here.Tax Filing Deadlines📅 June 15, 2026. Due date for your 2026 Q2 estimated tax payment.📅 June 15, 2026. Last day for U.S. taxpayers living abroad to file without a further extension (payment was still due April 15).Tax Conferences And Events📅 June 2-5, 2026. National Association of Black Accountants Insight 2026: WIN (We Invest Now) Convention & Expo, Aria, Las Vegas, Nevada.📅 June 3-6, 2026. Tax Retreat—The Anticonference. San Antonio, Texas.📅 June 8-11, 2026. AICPA Engage. ARIA Resort & Casino, Las Vegas, Nevada, & live online.📅 June 22-25, 2026. Latino Tax Fest. MGM Grand Hotel & Casino, Las Vegas, Nevada.📅 July 13-15, 2026. NATP Taxposium. Huntington Convention Center, Cleveland, Ohio.FeedbackWe’d love your thoughts. What’s helpful? What’s confusing? What tax topics do you want more of? Email me directly—I read every message.If you have a tax question, conference or tip for me, check out our guidelines and submit it here.