Some changes could be coming to your 2025 taxes.
"This week we released our 2025 inflation adjustments for about 60 tax provisions. The main ones that affect most folks are the standard deductions, the tax brackets," said IRS spokesperson Raphael Tulino.
Tulino tells KSBY community reporter Karson Wells that the IRS does this annually to keep up with inflation.
"It basically keeps pace with that, if you will, so things are on par with what we're seeing generally in the consumer world with inflation in CPI, that kind of thing," Tulino said.
Some of the changes that may impact you are:
For single taxpayers and married people filing separately for tax year 2025, the standard deduction rises to $15,000 for 2025, an increase of $400 from 2024. For married couples filing jointly, the standard deduction rises to $30,000, an increase of $800 from tax year 2024.
Some people in San Luis Obispo say they are fine with the changes as long as they don't lose more money.
"I don't need anymore money being deducted out of my check," one person said.
Another added, "I haven't had any problems with it, so I know they increased the standard deduction, but we still itemize but not by the margin we used to."
Tulino says says everyone will be impacted, for the most part, but you likely wont see a huge change.
"The inflationary adjustments for 2025 for all taxpayers, it benefits you or not, depending on your situation. Mostly it benefits you because it increases lots of things and makes it a little more lucrative. The bottom line is those inflation adjustments are for all taxpayers," Tulino said.
These inflation adjustments will go into effect for the 2025 tax year.
If you want to learn more about what changes are expected, click here.
