As the year comes to a close, it’s the perfect time to prepare for the 2025 tax season. The Internal Revenue Service (IRS) will begin accepting and processing tax returns for the 2024 tax year starting next year. The 2025 tax season is expected to begin in late January and end in mid-April. Therefore, it is essential for taxpayers to submit and remit payments before the deadline to avoid penalties and fines. Here are the new tax rates that will apply based on your income for next year.

Federal tax law allows taxpayers to deduct certain personal expenses. This reduces taxable income, which in turn reduces taxes owed and increases refunds. The IRS offers two options for this: the standard deduction or itemized deductions.

Changes to the standard deduction for the 2025 tax season

The flat rate deduction is a fixed amount of income that you can deduct from your taxable income without providing any information about the deduction. According to official IRS information, the standard deduction amounts for the 2024 tax year are:

However, The flat rate deduction does not apply:

The IRS is updating tax brackets for the 2025 tax season

Annually, the IRS sets the tax bracket, which consists of the percentage of taxes owed based on the taxpayer’s taxable income.

Taxable income includes all income that is subject to federal tax, regardless of whether it was earned. Your filing status affects your tax rate.

For the 2024 tax year, due in 2025, here are the tax rates corresponding to your income:

In such situations or if the taxpayer prefers, tHey, I can list your deductions. When personal deductions exceed the standard deduction, the taxpayer receives a greater benefit because it reduces his or her taxable income and may result in a lower tax rate.
Persons with income below the standard deduction limit are not legally required to file a tax return. NHowever, you can still apply for certain tax credits.