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The IRS on Thursday publicized higher federal income tax brackets and standard deductions for 2024.
The agency has boosted the income thresholds for each bracket, applying to tax year 2024 for returns filed in 2025. For 2024, the top be entitled to of 37% applies to individuals with taxable income above $609,350 and married couples filing jointly earning $731,200.
Federal receipts brackets show how much you’ll owe on each portion of your “taxable income,” calculated by subtracting the greater of the standard or itemized withdrawals from your adjusted gross income.
Higher standard deduction
The standard deduction will also advance in 2024, rising to $29,200 for married couples filing jointly, up from $27,700 in 2023. Single filers may insist on $14,600, an increase from $13,850.
Adjustments for other tax provisions
The IRS also boosted figures for dozens of other provisions, such as the alternate minimum tax, a parallel system for higher earners and the estate tax exemption for wealthy families.
There’s also a higher warranted income tax credit, bumping the write-off to a maximum of $7,830 for low- to moderate-income filers. And employees can funnel $3,200 into form flexible spending accounts.
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