Key Takeaways
- The IRS just announced the new tax brackets for 2026.
- The figures have been adjusted for inflation.
- There are also changes to the standard deduction and the employer-provided child tax credit.
The IRS just revealed the new, higher federal income tax brackets and standard deductions for 2026, which have been adjusted for inflation.
On Thursday, the agency revealed the new marginal rates for the 2026 tax year and other changes affected by the “One, Big, Beautiful Bill,” the agency stated on its website.
The changes apply to the tax year for 2026, so the returns affected by these changes will be filed in 2027 (and not this upcoming April).
Related: What the New IRS Rules Mean for Your Business — And How to Come Out Ahead
Here are the new tax brackets for the 2026 tax filing year:
- 37% for individuals with incomes over $640,600 ($768,700 for married couples filing jointly)
- 35% for individuals with incomes over $256,225 ($512,450 for married couples filing jointly)
- 32% for individuals with incomes over $201,775 ($403,550 for married couples filing jointly)
- 24% for individuals with incomes over $105,700 ($211,400 for married couples filing jointly)
- 22% for individuals with incomes over $50,400 ($100,800 for married couples filing jointly)
- 12% for individuals with incomes over $12,400 ($24,800 for married couples filing jointly)
- 10% for individuals with incomes of $12,400 or less ($24,800 for married couples filing jointly).
One of the biggest changes under the bill, the agency noted, is the Employer-Provided Childcare Tax Credit, which increases the credit for employers from $150,000 to $500,000 ($600,000 if the employer is an eligible small business).
The standard deduction is increasing from $31,500 to $32,200 for married couples filing jointly. Single taxpayers also get a boost: $16,100 instead of $15,750.
On Wednesday, the IRS announced that due to the government shutdown, it was furloughing almost half of its employees.
Key Takeaways
- The IRS just announced the new tax brackets for 2026.
- The figures have been adjusted for inflation.
- There are also changes to the standard deduction and the employer-provided child tax credit.
The IRS just revealed the new, higher federal income tax brackets and standard deductions for 2026, which have been adjusted for inflation.
On Thursday, the agency revealed the new marginal rates for the 2026 tax year and other changes affected by the “One, Big, Beautiful Bill,” the agency stated on its website.
The changes apply to the tax year for 2026, so the returns affected by these changes will be filed in 2027 (and not this upcoming April).
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