Tax preparation for refinery, plant and turnaround workers

Deductions plant workers often miss

• The new overtime deduction: the extra half of time-and-a-half, up to $12,500 ($25,000 married filing jointly)
• Louisiana withholding you may get back by filing a nonresident return after a job across the state line
• Craft or process technology classes that qualify for the Lifetime Learning Credit
• Traditional IRA contributions when you weren't in a company plan all year
• Travel costs if you work as a self-employed inspector or consultant on a 1099

Houston and Texas rules that apply to you

• Golden Triangle plants: Beaumont and Port Arthur are home to some of the largest refineries in the country, and LNG export projects around Port Arthur and Sabine Pass, such as Golden Pass LNG, have brought thousands of construction and craft jobs. Many workers have two or three employers in a year.
• Working in Louisiana: projects in the Lake Charles area put Louisiana tax on your pay. As a Texas resident you only owe Louisiana on what you earned there, and filing a nonresident return can return extra withholding.
• No Texas income tax: Texas has none, so you file federal only, plus any other state where you worked.

New for 2026 returns (filed in 2027)

• No tax on overtime: for 2025 through 2028, hourly workers can deduct the overtime premium required by federal law (the "half" in time-and-a-half), up to $12,500 a year ($25,000 joint). It phases out above $150,000 of income ($300,000 joint). Shift differentials and regular pay don't count.
• 1099 forms: clients and companies now send a 1099-NEC only when they pay you $2,000 or more in 2026 (it was $600). Payment apps send a 1099-K only above $20,000 and 200 payments. All of your income is still taxable, form or no form.

What to bring

• Every W-2 from every employer and contractor
• Your last pay stub from each job (it shows overtime hours and rates)
• Per diem or travel pay statements
• Any 1099s if you worked as a contractor
• Receipts for training or college classes

Common questions

Where I work

I'm based in Houston and work with clients across Harris, Fort Bend, Montgomery and Brazoria counties, including Pasadena, Pearland, Sugar Land, Missouri City, Katy, Cypress, Spring, Humble, Baytown and The Woodlands. Meet in person in Houston or do everything online, in English, Spanish or Portuguese. I also work by video with clients in Beaumont & Port Arthur, Duncanville, DeSoto, Cedar Hill & Lancaster.