The IRS says it’s boosting tax brackets due to faster inflation

The IRS says it's boosting tax brackets due to faster inflation

The IRS said the income thresholds for tax brackets will be climb higher in 2022, reflecting the faster pace of inflation. A married couple, for instance, will need to earn almost $20,000 more next year to enter the top tax bracket, which remains 37%.

The tax agency typically adjusts tax brackets each year to account for rising consumer prices, but this year’s increases are higher than usual. What’s not changing are the basic income-tax rates that were set by Congress through 2017’s Tax Cuts and Jobs Act, which set the lowest threshold at 10% and the highest at 37%.

The IRS […]

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