Every fall, tax professionals publish forecasts of next year's inflation-adjusted numbers before the IRS makes anything official. For 2027, several independent trackers, including Bloomberg Tax, Wolters Kluwer, and Thomson Reuters, have released projections, and they broadly agree on the direction: brackets and the standard deduction are headed higher, following a stronger-than-expected inflation reading in August.
Why these are forecasts, not final numbers
The IRS calculates the next year's brackets and standard deduction using a formula tied to the Consumer Price Index, but it doesn't publish the results until it has a full year of CPI data. The agency typically releases the official Revenue Procedure for the coming tax year in October or November; the 2026 figures were announced on October 9, 2025. Until then, firms that track the same CPI data run the same formula independently and publish their own projections, which is what is circulating now for 2027.
Projected standard deduction
Multiple forecasters put the 2027 standard deduction at approximately $33,200 for married couples filing jointly, up from $32,200 in 2026. For single filers and those married filing separately, the projection is around $16,600, up from $16,100. Head of household filers are projected at roughly $24,900, up from $24,150. Taxpayers age 65 or older would keep an additional standard deduction on top of these amounts, projected to rise slightly as well.
Projected tax brackets
Bloomberg Tax's projections, reported by CBS News, show every bracket threshold moving higher. As an example, the 12% bracket for married couples filing jointly is projected to cover taxable income from $25,601 up to $104,050, a roughly $3,250 increase at the top end compared with 2026. Forecasters expect income thresholds across all seven brackets to rise by about 3.2% for 2027, compared with a 2.7% adjustment for the current year, reflecting the pickup in inflation.
Other figures also moving
- Gift tax exclusion: projected to rise from $19,000 in 2026 to $20,000 in 2027.
- Qualified Business Income (Section 199A) threshold: projected around $416,650 for joint filers.
- Kiddie tax: the first roughly $1,350 of a child's unearned income is projected to remain tax-free at the same threshold structure.
What to do now
- Use 2026's confirmed numbers for this year's withholding and estimated payments. The 2027 figures don't affect income earned in 2026.
- Treat the $33,200 / $16,600 / $24,900 figures as planning estimates. They are calculated with the same formula the IRS uses, but only the IRS's own release is official.
- Watch for the official announcement in October or November. It will confirm or adjust these numbers for the return you file in 2028.
- If you're near a bracket edge, get professional advice before year-end. Moves like retirement contributions or timing income can matter more in years with larger bracket shifts.
2027 numbers are trending higher across the board, but they remain independent projections until the IRS publishes its own figures, expected in October or November 2026.
Taxes are one part of your full financial picture. Our business liability calculator can help you plan for another cost that shifts every year: insurance.