Indexed Tax Tables for 2027
The federal tables below include the values applicable when determining federal taxes for 2027. They are published in IRS Revenue Procedure 2026-35. We have also included the QCD limits for 2027. They are published in IRS Notice 2026-66. Lastly, we have included the state and local tax deduction (SALT) limits for 2027.
Standard Deduction
| Married filing jointly and surviving spouses | Head of Household | Married Filing Separately | Single |
|---|---|---|---|
| $32,200 | $24,925 | $16,600 | $16,600 |
Single filers age 65 or older who are unmarried and not surviving spouses may increase their standard deduction by $2,100. Other filers may increase their standard deduction by $1,700 for each spouse age 65 or older. The same increases are available for filers who are legally blind.
Effective 2025 through 2028 there is a separate $6,000 deduction available to filers age 65 or older ($12,000 for couples 65 or older who file jointly). This deduction is available whether the taxpayer takes the standard deduction or itemizes their deductions. It is phased out for taxpayers with modified adjusted gross income that exceeds $75,000 ($150,000 for joint filers).
Federal Income Tax Schedules
Married Filing Jointly and Surviving Spouses
| Taxable Income* | Tax | % on Excess |
|---|---|---|
| $0 | $0 | 10 |
| 25,600 | 2,560 | 12 |
| 104,050 | 11,974 | 22 |
| 218,250 | 37.098 | 24 |
| 416,650 | 84,714 | 32 |
| 529,100 | 120,698 | 35 |
| 793,650 | 213,290.50 | 37 |
* Taxable income is equal to gross income minus deductions.
Example: John and Joan Smith, a married couple who file jointly, have gross income of $250,000 in 2027. They claim a standard deduction ($33,200) because they lack sufficient itemized deductions. Their taxable income is $216,800: $250,000 - $33,200. Their tax is $36,779: $11,974 + .22 x ($216,800 - $104,050).
Heads of Households
| Taxable Income* | Tax | % on Excess |
|---|---|---|
| $0 | $0 | 10 |
| 18,250 | 1,825 | 12 |
| 69,650 | 7,993 | 22 |
| 109,100 | 16,672 | 24 |
| 208,300 | 40,480 | 32 |
| 264,550 | 58,480 | 35 |
| 661,35 | 197,360 | 37 |
* Taxable income is equal to gross income minus deductions.
Example: Joan Smith, who files as a head of household, has gross income of $120,000 in 2027. She has no dependents and claims a standard deduction ($24,925) because she lacks sufficient itemized deductions. Her taxable income is $95,075: $120,000 - $24,925. Her tax is $13,587: $7,993 + .22 x ($95,075 - $69,650).
Single Individuals
| Taxable Income* | Tax | % on Excess |
|---|---|---|
| $0 | $0 | 10 |
| 12,800 | 1,280 | 12 |
| 52,025 | 5,987 | 22 |
| 109,125 | 18,549 | 24 |
| 208,325 | 42,357 | 32 |
| 264,550 | 60,349 | 35 |
| 661,375 | 199,237.75 | 37 |
* Taxable income is equal to gross income minus deductions.
Example: Joan Smith, a single individual, has gross income of $110,000 in 2027. She has no dependents and claims a standard deduction ($16,600) because she lacks sufficient itemized deductions. Her taxable income is $93,400: $110,000 - $16,600. Her tax is $15,090: $5,987 + .22 x ($93,400 - $52,025).
Married Individuals Filing Separately
| Taxable Income* | Tax | % on Excess |
|---|---|---|
| $0 | $0 | 10 |
| 12,800 | 1,280 | 12 |
| 52,025 | 5,987 | 22 |
| 109,125 | 18,549 | 24 |
| 208,325 | 42,357 | 32 |
| 264,550 | 60,349 | 35 |
| 396,825 | 106,645.25 | 37 |
* Taxable income is equal to gross income minus deductions.
Example: Joan Smith, who is married and files separately from her husband, has gross income of $120,000 in 2027. She has no dependents and claims a standard deduction ($16,600) because she lacks sufficient itemized deductions. Her taxable income is $103,400: $120,000 - $16,600. Her tax is $17,290: $5,987 + .22 x ($103,400 - $52,025).
Estates and Trusts
| Taxable Income* | Tax | % on Excess |
|---|---|---|
| 0 | $0 | 10 |
| 3,400 | 340 | 24 |
| 12,100 | 2,428 | 35 |
| 16,500 | 3,968 | 37 |
* Taxable income is equal to gross income minus deductions.
Federal Capital Gains Tax Table
January 1, 2027 - December 31, 2027
| Seller Had Owned the Asset for 1 Year or More | Taxpayer Filing Status | |||
|---|---|---|---|---|
| Married Filing Jointly and Surviving Spouses | Head of Household | Single | Married Filing Separately | |
| 0% rate | <$102,100 | <$68,350 | <$51,050 | <$51,050 |
| 15% rate | $102,100-$633,600 | $68,350 -$598,400 | $51,050-$563,200 | $51,050-$316,800 |
| 20% rate (a) | >$633,600 | >$598,400 | >$563,200 | >$316,800 |
| Seller Had Owned the Asset for Less than 1 Year | Seller pays same tax rate as on earned income. | |||
Note: The rate is 28% for long-term gains from sales of art works and other collectibles.
(a) Tax on capital gain will include the 3.8% net investment income tax when the seller’s MAGI exceeds the applicable threshold ($250,000 if married filing jointly, $200,000 if a single filer or head of household filer, $125,000 if married filing separately). This tax is likely to apply to sellers in the 20% capital gain tax bracket, which would increase their effective rate to 23.8%. It will also apply to many sellers in the 15% bracket.
Applicable Gift and Estate Tax Credit
| Amount of Credit in 2027 | Amount of Exemption Equivalent in 2027 |
|---|---|
| $6,137,800 | $15,480,000 |
Annual Gift Tax Exclusion
The annual gift tax exclusion for 2027 is $20,000.
Generation Skipping Tax Lifetime Exemption
The generation skipping tax lifetime exemption for 2027 is $15,480,000.
QCD Limits
| QCD Type | Limit in 2027 |
|---|---|
| Annual limit on outright gifts | $114,000 |
| One-time limit* on life income gifts | $57,000 |
* A donor can use QCDs to fund life income gifts in one tax year only. The donor can fund more than one life income gift in that year, so long as the total of all QCDs of this kind are no greater than the limit on life income gifts shown in the table. QCDs that fund life income gifts count toward the annual limit on outright gifts.
State and Local Taxes (SALT) Deduction Limits and Phaseout Threshold
Under Section 70120 of the One Big Beautiful Bill Act, the state and local taxes (SALT) deduction limit increases by 1% annually through 2029. In 2027, this limit will be $40,804 for single, head of household, and married filing jointly taxpayers, and $20,402 for married persons filing separately.
The threshold for phasing this deduction limit down to $10,000, which is the lower limit for single, head of household, and married filing jointly taxpayers (it is $5,000 for married persons filing separately), also increases by 1% annually through 2029. In 2027, this threshold will be a modified adjusted gross income (MAGI) of $510,050 ($255,025 for a married person filing separately). The rate of the phaseout is 30% of a taxpayer’s excess MAGI over the threshold. Hence, a taxpayer with a MAGI of $612,730 or more in 2027 ($306,365 for a married person filing separately) will be limited to a SALT deduction of $10,000 ($5,000 for a married person filing separately).
