WASHINGTON — With tax season likely set to start in about a month, it's important to prepare and know what sort of bill or refund you could be facing.
Tax brackets are adjusted annually to account for inflation. The Internal Revenue Service typically announces the numbers more than a year in advance.
The IRS released numbers for tax year 2024 back in November 2023.
For the upcoming tax filing season, the agency increased the standard deduction to $29,200 for married couples filing jointly, up $1,500 from tax year 2023. The standard deduction for single filers or married couples filing separately is $14,600 for 2024, a $750 increase. For heads of households, the standard deduction will be $21,900, an increase of $1,100 from 2023.
IRS tax brackets for tax year 2024
- Incomes over $609,350 ($731,200 for married couples filing jointly) - 37%
- Incomes over $243,725 ($487,450 for married couples filing jointly) - 35%
- Incomes over $191,950 ($383,900 for married couples filing jointly) - 32%
- Incomes over $100,525 ($201,050 for married couples filing jointly) - 24%
- Incomes over $47,150 ($94,300 for married couples filing jointly) - 22%
- Incomes over $11,600 ($23,200 for married couples filing jointly) - 12%
- Incomes of $11,600 or less ($23,200 for married couples filing jointly) - 10%
When does tax season start 2025?
While Tax Day is April 15, we don't yet know for sure when the start of tax season will be. The IRS traditionally announces in early to mid-January when it will begin accepting and processing tax returns.
In 2024, tax season started on Jan. 29 (with a Jan. 8 announcement). In 2023, tax season started Jan. 23 (with a Jan. 12 announcement). So be on the lookout next month if you want to get an early start on tax season.
IRS tax brackets for tax year 2025 (Will be filed in 2026)
The IRS announced in October that taxpayers will again see higher standard deductions for 2025. For couples who file jointly, that standard deduction will be $30,000 for 2025, an $800 jump from the year prior. And heads of households will get a $22,500 standard deduction, up $600 from 2024.
For single taxpayers and married individuals filing separately in tax year 2025, the standard deduction is rising to $15,000 — up $400 from 2024.
- 37% for individual single taxpayers with incomes greater than $626,350 ($751,600 for married couples filing jointly)
- 35% for incomes over $250,525 ($501,050 for married couples filing jointly)
- 32% for incomes over $197,300 ($394,600 for married couples filing jointly)
- 24% for incomes over $103,350 ($206,700 for married couples filing jointly)
- 22% for incomes over $48,475 ($96,950 for married couples filing jointly)
- 12% for incomes over $11,925 ($23,850 for married couples filing jointly)
- 10% for incomes $11,925 or less ($23,850 or less for married couples filing jointly)
The Associated Press contributed to this report.
