Five rules affecting small businesses changed over the past year, and most of them make your life easier. The catch: a couple of them are widely misreported, and one Texas filing still trips people up every spring. Here's what changed, who it affects, and what to do.

For payments made on or after January 1, 2026, you only need to file a Form 1099-NEC or 1099-MISC for someone you paid $2,000 or more during the year. It's the first increase to that threshold since 1954, and it adjusts for inflation starting in 2027.

Who it affects: anyone who pays contractors, freelancers or landlords.

What to do: keep collecting a W-9 from every contractor before you pay them. You can't predict in January who will cross $2,000 by December. The 1099s you file in early 2027 cover 2026 payments; January 31, 2027 falls on a Sunday, so the deadline moves to Monday, February 1.

If you're the one getting paid: no 1099 doesn't mean no tax. Every dollar is still reportable income.

If you formed an LLC in the last few years, you probably heard you had to file a Beneficial Ownership Information report with FinCEN. In August 2026, FinCEN issued a final rule permanently exempting all U.S. companies and U.S. owners from that requirement.

Who it affects: every U.S.-formed LLC and corporation.

What to do: nothing. If someone emails or mails you demanding a BOI filing fee, treat it as a scam.

The Qualified Business Income deduction lets many sole proprietors, LLC owners and S-corp owners deduct up to 20% of their business income. It was set to expire after 2025; it's now permanent. You may have seen "23%" online. That was an early House proposal that didn't make it into the final law.

One new perk starting in 2026: if you have at least $1,000 of qualified income from a business you actively run, you get a minimum deduction of $400.

What to do: nothing changes day to day, but accurate books are how your tax preparer calculates this deduction correctly.

Buying equipment, a work vehicle or computers? For qualifying property placed in service after January 19, 2025, you can generally deduct the full cost in the year you buy it instead of spreading it over several years.

What to do: keep the receipt, the date it went into service, and a note on business use. Talk to your tax preparer before a big year-end purchase; a write-off still costs you the other 70-plus cents on the dollar.

For 2026 and 2027 reports, Texas businesses with annualized revenue at or below $2.65 million owe no franchise tax (up from $2.47 million). You also no longer file the old No Tax Due Report.

Here's the trap: most LLCs and corporations still have to file a Public Information Report (or Ownership Information Report) by May 15 each year. Skip it and the state can charge a $50 late penalty and, eventually, forfeit your right to do business in Texas.

What to do: put May 15 on your calendar now.

2026 brings less paperwork for most small businesses, but every one of these rules works better when your books are current. If you're not sure where you stand, our free book review walks through your records with you and flags anything that needs attention before tax season.

This article is general information, not tax or legal advice for your situation. Rules change, and details depend on your business; talk with a tax professional before acting.

Sources: FinCEN (fincen.gov/boi), Texas Comptroller (comptroller.texas.gov/taxes/franchise), IRS (irs.gov).