The standard deduction for married couples filing jointly for tax year 2023 rises to $27,700 up $1,800 from the prior year. For single taxpayers and married individuals filing separately, the standard deduction rises to $13,850 for 2023, up $900, and for heads of households, the standard deduction will be $20,800 for tax year 2023, up $1,400 from the amount for tax year 2022.

Marginal tax rates for tax year 2023 were also adjusted. The new rates and income limits are:

• 37% for incomes over $578,125 ($693,750 for married couples filing jointly);
• 35% for incomes over $231,250 ($462,500 for married couples filing jointly);
• 32% for incomes over $182,100 ($364,200 for married couples filing jointly);
• 24% for incomes over $95,375 ($190,750 for married couples filing jointly);
• 22% for incomes over $44,725 ($89,450 for married couples filing jointly);
• 12% for incomes over $11,000 ($22,000 for married couples filing jointly);
• 10% for incomes of single individuals with incomes of $11,000 or less ($22,000 for married couples filing jointly).

To read the entire Rev. Proc. 2022-38, click here:

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‍https://www.irs.gov/pub/irs-drop/rp-22-38.pdf

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