Tax Brackets Will Be Higher in 2022 Due to Faster Inflation, IRS Says

WASHINGTON—The threshold for the apical national income-tax bracket successful 2022 volition ascent by astir $20,000 adjacent twelvemonth for joined couples, and that 37% complaint volition use to income supra $647,850, the Internal Revenue Service said Wednesday arsenic it implemented automatic tax-code updates to bespeak faster ostentation successful 2021.

For individuals, that apical taxation bracket volition commencement astatine $539,900. Those levels and the different taxation bracket interruption points each roseate astir 3% from taxation twelvemonth 2021 owed to automatic ostentation adjustments built into the taxation code.