Standard Deduction Increase
The IRS has raised the standard deduction for 2025, providing taxpayers with higher deductions for their filing:
Single Filers: $14,400 (up from $13,850 in 2024)
Married Filing Jointly: $28,800 (up from $27,700 in 2024)
Head of Household: $21,600 (up from $20,800 in 2024)
This adjustment aims to account for inflation and can reduce taxable income for many taxpayers.
Expanded Tax Credits
Child Tax Credit (CTC): Families with eligible dependents under 17 can claim up to $2,200 per child for the 2025 tax year.
Earned Income Tax Credit (EITC): The income limits for claiming the EITC have increased slightly, allowing more low- and moderate-income workers to qualify.
Key Tips For 2025 Filings
- Organize your financial records early, including W-2s, 1099s, and deduction receipts.
- Explore deductions for education, retirement contributions, and medical expenses.
- File your tax early for faster refunds
