Higher Standard Deduction

The amount of income you don't pay taxes on went up. $16,100 for single filers and $32,200 for married couples. Key details: Single filers: $16,100, up $350 from $15,750 in 2025. means $350 less in taxable income. Married filing jointly: $32,200, up $700 from $31,500. saves roughly $150–$240 in taxes depending on your bracket. Head of household: $24,150, up $525 from $23,625. designed for single parents and unmarried heads of household. If you're 65 or older, you get an extra $2,050 (or $1,650 if filing jointly) on top of the standard deduction. Overall a ~2.2% increase across all filing statuses, roughly matching inflation.

Tax Brackets Made Permanent

The 7-bracket system (10%–37%) from the 2017 tax cuts is now permanent. Bracket thresholds nudged up for inflation. Key details: 10% on your first $11,925 (single) / $23,850 (joint). everyone pays this rate on their lowest income. 12% on $11,926–$48,475 (single) / $23,851–$96,950 (joint). where most middle-income earners land. 22% on $48,476–$103,350 (single) / $96,951–$206,700 (joint). 24% on $103,351–$197,300 (single) / $206,701–$394,600 (joint). 32% on $197,301–$250,525 (single) / $394,601–$501,050 (joint). 35% on $250,526–$640,600 (single) / $501,051–$768,700 (joint). 37% on everything above $640,600 (single) / $768,700 (joint). top rate is unchanged from 2025. These were set to expire in 2026, but the One Big Beautiful Bill made them permanent.

SALT Cap Quadrupled to $40,400

You can now deduct up to $40,400 in state and local taxes. a massive jump from the $10,000 cap that's been in place since 2017. Key details: New cap: $40,400 (up 1% from $40,000 in 2025, and 4x the old $10,000 limit). if you pay high state/city taxes, this could save you thousands. Married filing separately: $20,200 cap (half the joint amount). Especially impactful for NYC, NJ, and CA residents who often hit the old $10K cap easily. Starts phasing out at $505,000 MAGI. for every $1 over that, your cap drops by 30¢, but it can never fall below $10,000. Temporary: runs 2025–2029, then reverts to $10,000 in 2030 unless Congress extends it.

Child Tax Credit: $2,220 Per Child

A small bump for families. $20 more per qualifying child, from $2,200 to $2,220. Key details: $2,220 per qualifying child under 17, up from $2,200. this directly reduces your tax bill dollar-for-dollar. Up to $1,700 of that is refundable, meaning you can get it back even if you owe $0 in taxes. Starts phasing out at $200,000 for single filers and $400,000 for married couples. reduced by $50 for every $1,000 over the limit.

Adoption Credit Now Partly Refundable

The max adoption credit rose to $17,670, and for the first time, up to $5,120 of it is refundable. Key details: Max credit: $17,670, up from $17,280. covers legal fees, court costs, travel, and other adoption expenses. Up to $5,120 is now refundable. previously this credit was non-refundable, so you'd lose any amount over what you owed. The refundable portion is new and means lower-income families can actually benefit from the full credit.

100% Bonus Depreciation Is Permanent

Businesses can write off the full cost of equipment and property in year one. no more scheduled phase-down. Key details: 100% first-year write-off for qualified property. instead of depreciating a $50K truck over 5 years, you deduct it all now. Applies to property acquired after January 19, 2025. Reverses the scheduled drop: was going to fall to 60% in 2025, 40% in 2026, 20% in 2027, then 0%. Mainly benefits businesses and self-employed people who buy equipment, vehicles, or machinery.

Legislative Reference

2026 Tax Updates

Everything you need to know about the One Big Beautiful Bill Act and 2026 tax updates, and how they affect your take-home pay.

Last updated: March 28, 2026

See How These Changes Affect Your Take-Home Pay

Free calculator with the latest 2026 brackets for all 50 states + NYC city tax.

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Sources & Methodology

All tax data is sourced from official IRS publications, revenue procedures, and the text of the One Big Beautiful Bill Act (signed July 4, 2025). We cross-reference with the Tax Foundation, Congressional Research Service, and major tax advisory firms.

This page is updated monthly via automated research followed by manual review.

Disclaimer: This information is for educational purposes only and does not constitute tax advice. Consult a qualified tax professional for advice specific to your situation.

Key 2026 Tax Numbers at a Glance

All figures from the IRS and One Big Beautiful Bill Act. Compared to tax year 2025.

Standard Deduction (Single)

$16,100

+$350

Standard Deduction (Joint)

$32,200

+$700

SALT Cap

$40,400

+$30,400

Child Tax Credit

$2,220

+$20

Senior Bonus Deduction

$6,000

New

401(k) Limit

$24,500

+$1,000

Tips Deduction

$25,000

New

Overtime Deduction

$12,500

New

Estate Exemption

$15M

Permanent

The One Big Beautiful Bill Act permanently set seven federal tax brackets at 10%-37%, raised the standard deduction to $16,100/$32,200, quadrupled the SALT cap to $40,400, and introduced new deductions for tips, overtime, and auto loan interest. Last verified: March 28, 2026.

Item	2026 Amount	Change
Standard Deduction (Single)	$16,100	+$350
Standard Deduction (Married Joint)	$32,200	+$700
Standard Deduction (Head of Household)	$24,150	+$525
SALT Deduction Cap	$40,400	+$30,400
Child Tax Credit	$2,220	+$20
Social Security Wage Base	$184,500	+$8,400
Estate Tax Exemption	$15,000,000	Permanent

2026 Tax Updates

Higher Standard Deduction

Tax Brackets Made Permanent

SALT Cap Quadrupled to $40,400

Child Tax Credit: $2,220 Per Child

Adoption Credit Now Partly Refundable

100% Bonus Depreciation Is Permanent

'Trump Accounts' for Kids

HSA Rules Loosened

Workplace Childcare Credit Tripled

AMT Exemption Goes Up

Tips, Overtime & Car Loans Now Deductible

Business Meal Rules Updated

Estate Tax Exemption: $15 Million

Social Security Tax Hits More Income

Mileage Rate: 72.5¢ Per Mile

NY State: Lowest Rates in 70 Years

Corporate Minimum Tax Guidance

Extra $6,000 Deduction for Seniors

Charitable Deduction for Non-Itemizers

Higher 401(k) & IRA Limits

Bigger 2026 Tax Refunds

See How These Changes Affect Your Take-Home Pay

Sources & Methodology

Key 2026 Tax Numbers at a Glance