1 of 2 | U.S. House Speaker Mike Johnson's, R-LA, signature seen in July on the "Big Beautiful Bill" at the U.S. Capitol in Washington, D.C. The GOP-controlled House passed the U.S. President Donald Trump's tax and spending bill, which increased spending on defense and immigration enforcement, temporarily cut taxes on tips, cut funding for Medicaid, food assistance for the poor, clean energy and raised the U.S. debit limit by $5 trillion. File Photo by Bonnie Cash/UPI | License Photo
Oct. 9 (UPI) -- The Internal Revenue Service on Thursday unveiled its 2026 federal income tax brackets and deductions for the new tax year.
The IRS raised its income threshold for each tax bracket for the 2026 tax year in returns to be filed in 2027, according to U.S. revenue officials.
"The tax year 2026 adjustments described generally apply to tax returns filed in 2027," the Internal Revenue Service stated in a release.
Officials said higher federal tax brackets for 2026 were to adjust for rising inflation.
