The income thresholds for the seven federal tax brackets increased by a bigger-than-normal amount for the 2023 tax year to reflect runaway inflation seen last year.
“They are just the usual changes due to inflation,” Jon Whiten, from the Institute on Taxation and Economic Policy told Yahoo Finance. “More dramatic this year since inflation was also dramatic.”
The inflation-adjusted amounts jumped by more than 7% from 2022, according to the Tax Policy Center, compared with last year’s 3%…
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