The IRS has announced inflation adjustments for more than 60 federal tax provisions for the 2026 tax year, including updated tax brackets, standard deductions, and key credit thresholds.
The adjustments, detailed in a document released on Oct. 9, reflect the IRS’s annual inflation indexing and include changes enacted under the One Big Beautiful Bill Act, signed into law in July by President Donald Trump. The new figures take effect for the 2026 tax year and will apply to returns filed in 2027.
Under the revised structure, the top federal income tax rate remains 37 percent, applying to single filers with taxable income above $640,600 and to married couples filing jointly with incomes above $768,700. The lower rates of 10, 12, 22, 24, 32, and 35 percent also remain unchanged, but the income thresholds that apply to them have been adjusted upward to account for inflation—changes meant to keep taxpayers from being pushed into higher brackets without a real effective increase in earnings….