The IRS is increasing the standard deduction and tax bracket limits amid inflation.
To help you keep up with soaring inflation, the IRS is making bigger changes than usual that could save you big money on your 2023 taxes, which is the tax return you'll file in 2024.The first big change is that the standard deduction is going up from $12,950 to $13,850 for individuals.
That's $900 more. The standard deduction for married couples filing jointly is increasing from $25,000 to $27,700, up nearly $1,800.**EDITOR'S NOTE: The video above is from a previous report** Sky-high property taxes are hitting homeowners across the country hard. But there are ways to fight back and knock those numbers down. The IRS is also raising income limits 7% on all tax brackets before you'll have to pay a higher tax rate. Millions of people may still be eligible for COVID-19 stimulus checks, but the deadline is coming up The limit in the 24% tax rate is going up from $89,075 to $95,375, letting you earn more income before that next rate of 32% would kick in. Married couples earning $200,000 in both 2022 and 2023 will actually pay $900 less on their 2023 taxes.Seeking to represent more than a million residents in Harris County Precinct 4 Republican Jack Cagle and Democratic challenger Lesly Briones squared off in the public square - with the incumbent proudly defending his quorum busting decision to vote with his feet against higher taxes and spending. And here's a big change that will help many low and medium-income families: the Earned Income Tax Credit is increasing from a maximum of $6,935 to $7,430. And that's a refundable credit, so some families that qualify could receive that amount in a check.MORE SULLIVAN'S SMART SENSE However, note one change right now: the limit you can save pre-tax in a Flex Spending Account for medical bills is going up from $2,850 to $3,050.
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