Federal Individual Income Tax Brackets, Standard Deductions, and Personal Exemption: 1988 to 2026

This report tracks changes in federal individual income tax brackets, the standard deduction, and the personal exemption since 1988. All three tax items have been indexed for inflation since 1981, though the personal exemption is not currently in effect. The report also explains how tax provisions are adjusted for inflation. The table below, which also includes the new temporary senior deduction, shows the levels that are to apply in 2026. Current statutory tax rates have evolved from the Tax Reform Act of 1986 (TRA86; P.L. 99-514) and several tax laws enacted since then. Of particular importance have been the Omnibus Budget Reconciliation Act of 1990 (OBRA90; P.L. 101-508); the Omnibus Budget Reconciliation Act of 1993 (OBRA93; P.L. 103-66); the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA; P.L. 107-16); the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 (TRUC; P.L. 111-312); the American Taxpayer Relief Act of 2012 (ATRA; P.L. 112-240); the tax rate changes in the 2017 tax revision (P.L. 115-97), also known as the Tax Cuts and Jobs Act; and the FY2025 reconciliation law (P.L. 119-21), also known as the One Big Beautiful Bill Act. Seven statutory individual income tax rates have been in effect since 2018: 10%, 12%, 22%, 24%, 32%, 35%, and 37%. Each rate applies to a different range of income, and that range constitutes a tax bracket. A taxpayer’s tax liability is the sum total of the tax from each of the tax brackets their taxable income covers. This means that someone’s average tax rate (i.e., total tax owed divided by total income) is less than their top marginal tax rate (i.e., the tax on an additional dollar of income). For example, if the federal income tax had no deductions, exemptions, exclusions, and credits, and Mary has a taxable income of $20,000 and half of that amount is taxed at 10% and half at 15%, her tax liability would equal ($10,000 × 0.10) + ($10,000 × 0.15), or $2,500. Mary’s average tax rate would be 12.5% ($2,500 divided by $20,000), while her top marginal rate would be 15%. (This is an intentionally simplified example and is not intended to represent the current tax code.) Over 50 federal income tax provisions are indexed for inflation. These include the tax brackets and the standard deduction. Indexation reduces the risk of bracket creep, which happens when someone’s tax liability increases because of a larger increase in that taxpayer’s nominal income than their real income. Until 2018, indexation of these items was based on annual changes in the Consumer Price Index for All Urban Consumers (CPI-U). Under P.L. 115-97, Congress permanently switched the inflation adjustment to the Chained Consumer Price Index for All Urban Consumers (C-CPI-U), starting in 2018. Some believe that the latter index provides a more accurate measure of inflation among consumer goods and services than the CPI-U. A sole provision in the table below, the temporary senior deduction, is not indexed to inflation. Personal Exemption, Standard Deductions, Temporary Senior Deduction, Limitation on Itemized Deductions, and Statutory Marginal Tax Rates, 2026 Personal Exemption: $0 (Permanently repealed under current law) Standard Deduction: Joint $32,200 Single $16,100 Head of Household $24,150 Additional Standard Deduction for the Elderly or the Blind: Individual $1,650 Individual who is unmarried and not a surviving spouse $2,050 Temporary Senior Deduction (2025-2028): Individual age 65 or older $6,000 per qualifying individual Reduced by 6% of modified adjusted gross income above $75,000 for individuals Reduced by 6% of modified adjusted gross income above $150,000 for joint filers Limitation on Itemized Deductions: Itemized deductions are reduced by 2/37ths of the lesser of (1) the total value of itemized deductions claimed; or (2) the amount by which the sum of taxable income and all itemized deductions exceeds the threshold at which the 37% bracket begins. Statutory Marginal Income Tax Rates, 2026 Joint Returns If taxable income is: Then, tax is: $0 to $24,800 10% of the amount over $0 over $24,800 to $100,800 $2,480 + 12% of the amount over $24,800 over $100,800 to $211,400 $11,600 + 22% of the amount over $100,800 over $211,400 to $403,550 $35,932 + 24% of the amount over $211,400 over $403,550 to $512,450 $82,048 + 32% of the amount over $403,550 over $512,450 to $768,700 $116,896 + 35% of the amount over $512,450 over $768,700 $206,583.50 + 37% of the amount over $768,700 Single Returns If taxable income is: Then, tax is: $0 to $12,400 10% of the amount over $0 over $12,400 to $50,400 $1,240 + 12% of the amount over $12,400 over $50,400 to $105,700 $5,800 + 22% of the amount over $50,400 over $105,700 to $201,775 $17,966 + 24% of the amount over $105,700 over $201,775 to $256,225 $41,024 + 32% of the amount over $201,775 over $256,225 to $640,600 $58,448 + 35% of the amount over $256,225 over $640,600 $192,979.25 + 37% of the amount over $640,600 Head-of-Household Returns If taxable income is: Then, tax is: $0 to $17,700 10% of the amount over $0 over $17,700 to $67,450 $1,770 + 12% of the amount over $17,700 over $67,450 to $105,700 $7,740 + 22% of the amount over $67,450 over $105,700 to $201,750 $16,155 + 24% of the amount over $105,700 over $201,750 to $256,200 $39,207 + 32% of the amount over $201,750 over $256,200 to $640,600 $56,631 + 35% of the amount over $256,200 over $640,600 $191,171 + 37% of the amount over $640,600 Source: IRS Revenue Procedure 2025-32 and P.L. 119-21.