The IRS released adjustments that will raise the top amounts of all seven federal income tax brackets for 2023 and thereby increase the paychecks of many employees by taxing more of their earnings at lower rates.
The IRS announced the adjustments for tax year 2023 in Revenue Procedure 2022-38, which was released on Oct. 18.
“Because inflation is higher than at any time in the past four decades, tax code adjustments are unusually high as well,” with tax bracket thresholds rising about 7 percent, The Wall Street Journal reported.
