The IRS announces new income tax brackets for 2023

The Internal Revenue Service (IRS) announced higher income tax brackets and standard deductions for 2023, a welcome cost-of-living adjustment for many by the tax code.

The new tax adjustments may boost the paychecks of many Americans whose income didn’t rise as inflation did. 

Income ranges in all tax brackets increased by roughly 7% compared to the last year.

The standard deduction rose to $13,850 for single taxpayers, up from $12,950; married couples filing jointly can claim a standard tax deduction of $27,700 from $25,900.