The IRS also boosted figures for dozens of other provisions, including long-term capital gains brackets estate and gift tax exemption and more.

The Internal Revenue Service just set its levels for income-tax brackets and a commonly-used deduction that Americans will have for their 2025 taxes. Take a long look at the numbers. Things might look a lot different for taxes in 2026.

On Tuesday, the Internal Revenue Service announced its annual inflation adjustments for 2025, including updates to the federal income tax brackets and standard deduction. The standard deduction — which is the amount of money you can reduce from your income before it's taxed,