New York — If you are someone who likes to plan ahead on your taxes, the IRS this week released the new inflation-adjusted income tax brackets and standard deduction amounts that will be in effect for tax year 2024. Higher standard deductionThe IRS makes inflation adjustments annually to tax brackets, the standard deduction and some other tax breaks. New income tax bracketsThe US federal income tax code currently has seven tax rates – 10%, 12%, 22%, 24%, 32%, 35% and 37%. For tax year 2024, each of the seven rates will apply to the following new income tax brackets:10%: Income up to $11,600 ($23,200 for married couples filing jointly)12%: Income over $11,600 ($23,200 for joint filers)22%: Income over $47,150 ($94,300 for joint filers)24%: Income over $100,525 ($201,050 for joint filers)32%: Income over $191,950 ($383,900 for joint filers)35%: Income over $243,725 ($487,450 for joint filers)37%: Income over $609,350 ($731,200 for joint filers). So, as an example, say you’re single and make $100,000 a year but your taxable income comes out to $75,000.

Source: CNN November 10, 2023 17:43 UTC