The new deductions are in place from 2025 to 2028TAX RELIEF IRS drops ‘sneak peek’ at 2025 claim form with new deductions for tips and overtimeTHE Internal Revenue Service has given Americans a glimpse of the new form needed for deductions on tips and overtime. An early draft was recently released and includes a two-page federal income tax form called Schedule 1-A. IRS Form 1040 is the standard federal income tax form. The updated Schedule 1-A features four sections to fill out, including the deductions on qualified tip income and overtime pay. "Qualified tips" are defined as "voluntary cash or charged tips received from customers or through tip sharing."