IRS changes standard deduction for 2025

(CNN)– The Internal Revenue Service has announced some notable changes for tax year 2025.

New tax brackets reflect an increase of about 2.8% since 2024 due to inflation.

That is almost half of the adjustment for the 2024 rates which was 5.4%.

As for the adjustments to standard deductions for single tax filers, or those married but filing separately the standard deduction will increase $400 from 2024 to $15,000.