IRS sets 2027 tax brackets: standard deduction rises to $16,600 for single filers
On November 5, 2026 the IRS published its annual inflation adjustments (Revenue Procedure 2026-35). They apply to tax year 2027, which means returns most people will file in early 2028. Your 2026 return, due next spring, is not affected.
Standard deduction
- Single or married filing separately: $16,600, up $500
- Married filing jointly: $33,200, up $1,000
- Head of household: $24,925, up $775
Tax brackets for 2027
| Rate | Single, taxable income over | Married filing jointly, over |
|---|---|---|
| 10% | $0 | $0 |
| 12% | $12,800 | $25,600 |
| 22% | $52,025 | $104,050 |
| 24% | $109,125 | $218,250 |
| 32% | $208,325 | $416,650 |
| 35% | $264,550 | $529,100 |
| 37% | $661,375 | $793,650 |
Other changes worth knowing
- Child tax credit: up to $2,300 per child, with up to $1,800 refundable.
- Earned income credit: maximum of $8,496 for families with three or more qualifying children, up from $8,231.
- Health FSA: you can contribute up to $3,500, with up to $700 carried over if your plan allows it.
- Annual gift exclusion: $20,000 per recipient, up from $19,000.
- Estate exemption: $15,480,000 for people who die in 2027.
What to do
Because the thresholds rise with inflation, a raise that only keeps pace with prices should not push more of your income into a higher bracket. During open enrollment this fall, check whether your employer has raised its FSA limit for 2027. If you owe back taxes now, our guide to tax relief and other money problems covers IRS payment plans and how to avoid relief scams.
