2026 OnE Big Beautiful Bill Updates
The Numbers Changed. Your Strategy Should Too.
New tax brackets. Higher deductions. Updated credits. The 2026 adjustments could mean a bigger refund—if you know how to use them. We do.
Tax Inflation Adjustments
Key Numbers for Tax Years 2025 & 2026
Standard Deduction Increases
Tax Year 2026
- Married Filing Jointly $32,200
- Single / Married Filing Separately $16,100
- Head of Household $24,150
Tax Year 2025
- Married Filing Jointly $31,500
- Single / Married Filing Separately $15,750
- Head of Household $23,625
Marginal Tax Rates for Tax Year 2026
| Rate | Single Filers | Married Filing Jointly |
|---|---|---|
| 37% | Over $640,600 | Over $768,700 |
| 35% | Over $256,225 | Over $512,450 |
| 32% | Over $201,775 | Over $403,550 |
| 24% | Over $105,700 | Over $211,400 |
| 22% | Over $50,400 | Over $100,800 |
| 12% | Over $12,400 | Over $24,800 |
| 10% | Up to $12,400 | Up to $24,800 |
Alternative Minimum Tax (AMT) Exemptions for 2026
Single Filers
- Exemption Amount $90,100
- Phases Out At $500,000
Married Filing Jointly
- Exemption Amount $140,200
- Phases Out At $1,000,000
Estate Tax Exclusion for 2026
Other Key Adjustments for 2026
Adoption Credit
Maximum adoption credit (up from $17,280 in 2025)
Up to $5,120 may be refundable
Employer Childcare Credit
Maximum amount (up from $150,000)
Up to $600,000 for eligible small businesses
2026 Tax Inflation Adjustments
Get answers to the most common questions about the 2026 tax changes
Are tax refunds going to be bigger in 2026?
Many taxpayers could see larger refunds in 2026. The Tax Foundation estimates that the new tax breaks could raise average refunds by $300 to $1,000, potentially totaling $100 billion in refunds this season. Refund amounts will vary widely depending on individual circumstances, including eligibility for new deductions like no tax on tips, overtime, and the senior deduction.
What are the 2026 tax brackets?
For 2026, the marginal tax brackets are: 10% for income up to $12,400 (single) or $24,800 (joint); 12% for income over $12,400/$24,800; 22% for income over $50,400/$100,800; 24% for income over $105,700/$211,400; 32% for income over $201,775/$403,550; 35% for income over $256,225/$512,450; and 37% for income over $640,600/$768,700.
What is the standard deduction for 2026?
For tax year 2026, the standard deduction increases to $32,200 for married couples filing jointly, $16,100 for single taxpayers and married individuals filing separately, and $24,150 for heads of household. These amounts are higher than 2025 due to inflation adjustments.
Is the estate tax exemption adjusted for inflation in 2026?
Yes. The basic estate tax exclusion amount increases to $15,000,000 per individual in 2026, up from $13,990,000 for 2025 decedents. This means estates valued under $15 million for single individuals (or $30 million for married couples) will not owe federal estate tax.
Are capital gains tax rates changing in 2026?
The long-term capital gains tax rates remain at 0%, 15%, and 20% for 2026, but the income thresholds have shifted due to inflation adjustments. For single filers: 0% up to $49,450, 15% from $49,451 to $545,500, and 20% over $545,500. Short-term capital gains are still taxed at ordinary income tax rates.
What is the senior tax deduction for 2026?
Effective for 2025 through 2028, individuals age 65 and older may claim an additional deduction of $6,000 ($12,000 for married couples if both qualify). This is a new deduction on top of the existing additional standard deduction for seniors. It phases out for those with income over $75,000 ($150,000 for joint filers).
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