On Your Side: IRS releases tax inflation adjustments for tax year 2027

SPRINGFIELD, Mo. (KY3)- The IRS is raising some tax deductions and credits to account for inflation, and the changes could affect how you plan for next year.

For 2027, the standard deduction will increase to $16,600 for single filers, and $33,200 for married couples filing jointly. The maximum child tax credit will also increase to $2,300 per qualifying child.

The IRS says even if your family or filing status doesn’t change next year, inflation adjustments could still affect your tax bill.

“If you’re single and have no dependents, your standard deduction still went up $500. And $500 is $500 in the reality of things. Plus, the tax rates, the marginal tax rates, changed a little bit. So, you can earn more money and still pay less tax,” said Stacy Engle, spokesperson for the IRS.

Those adjustments apply to income earned in 2027, so you’ll see them when you file your 2027 tax return in 2028.

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