{"id":36441,"date":"2022-10-24T10:09:51","date_gmt":"2022-10-24T15:09:51","guid":{"rendered":"https:\/\/itrfoundation.org\/?p=36441"},"modified":"2023-01-16T15:06:35","modified_gmt":"2023-01-16T21:06:35","slug":"federal-governments-inflation-adjustment-futile","status":"publish","type":"post","link":"https:\/\/itrfoundation.org\/federal-governments-inflation-adjustment-futile\/","title":{"rendered":"IRS Not Immune To Inflation"},"content":{"rendered":"
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Don\u2019t let these changes fool you. Nobody should believe that the pain of inflation is going to be erased by these IRS adjustments.<\/strong> <\/em><\/p>\n

The federal government\u2019s tax collecting agency released their annual inflation adjustments<\/a> this month, proving that even the IRS is not immune to inflation.\u00a0 These updates are an attempt to keep inflation from leading to a de facto tax increase on Americans, and a few key components of the income tax code received 7 percent increases.<\/p>\n

The IRS typically makes small, inflation-related adjustments to the tax code each year. When inflation is relatively tame, the adjustments are moderate.\u00a0 The standard deduction, for instance, was increased by 3 percent in 2022<\/a> and 1 percent in 2021<\/a>. \u00a0The table below details the 7 percent increases for the standard deduction next year:<\/p>\n<\/div>\n<\/div><\/div>

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The other notable change<\/a> is the thresholds to move into a higher tax bracket have all been adjusted upward by 7 percent, too.\u00a0 The IRS is attempting to ensure that wage gains due solely to inflation do not bump a taxpayer into the next (higher) tax bracket.\u00a0 The tables below detail the 7 percent increase each tax bracket will receive next year for married filers, single filers, and Head of Household filers:<\/p>\n<\/div>\n<\/div><\/div>

\n\n
\n\t\t\"\"\n\t<\/div>\n\n<\/div><\/div>
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Don\u2019t let these changes fool you.\u00a0 Nobody should believe that the pain of inflation is going to be erased by these IRS adjustments.\u00a0 After all, a 7 percent tweak to a couple of tax code components still lags behind the 12-month change<\/a> in inflation (8.2%), in the price of gasoline (18.2%), and in the price of groceries (11.2%).\u00a0 We also cannot forget what is fueling<\/a> inflation in the first place<\/a>.\u00a0 While taxpayers will benefit from these changes, a small break in the federal income tax burden will still pale in comparison to the damage that\u2019s being done by skyrocketing inflation, a slowing economy, and rising interest rates.<\/p>\n<\/div>\n<\/div><\/div><\/div><\/div><\/div>","protected":false},"excerpt":{"rendered":"

Don\u2019t let these changes fool you. Nobody should believe that the pain of inflation is going to be erased by these IRS adjustments. The federal government\u2019s tax collecting agency released their annual inflation adjustments this month, proving that even the IRS is not immune to inflation.\u00a0 These updates are an attempt to keep inflation from leading to a de facto […]<\/p>\n","protected":false},"author":4,"featured_media":36553,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","cybocfi_hide_featured_image":"","footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false}}},"categories":[64,28],"tags":[],"jetpack_publicize_connections":[],"featured_image_urls":{"full":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment.jpg",1200,800,false],"thumbnail":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-300x300.jpg",300,300,true],"medium":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-500x333.jpg",500,333,true],"medium_large":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-768x512.jpg",640,427,true],"large":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-1024x683.jpg",640,427,true],"widgets_image_size":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-800x800.jpg",800,800,true],"folio":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-600x400.jpg",600,400,true],"1536x1536":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment.jpg",1200,800,false],"2048x2048":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment.jpg",1200,800,false],"bizberg_medium":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-300x300.jpg",300,300,true],"bizberg_gallery":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-500x400.jpg",500,400,true],"bizberg_blog_list":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-368x240.jpg",368,240,true],"bizberg_detail_image":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-825x400.jpg",825,400,true],"bizberg_portfolio_homepage":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-600x400.jpg",600,400,true],"bizberg_blog_list_no_sidebar_1":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-220x190.jpg",220,190,true],"bizberg_detail_image_no_sidebar":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-920x400.jpg",920,400,true],"rpwe-thumbnail":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-45x45.jpg",45,45,true],"sow-carousel-default":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-272x182.jpg",272,182,true],"advps-thumb-one":["https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment-600x220.jpg",600,220,true]},"post_excerpt_stackable":"

Don\u2019t let these changes fool you. Nobody should believe that the pain of inflation is going to be erased by these IRS adjustments. The federal government\u2019s tax collecting agency released their annual inflation adjustments this month, proving that even the IRS is not immune to inflation.\u00a0 These updates are an attempt to keep inflation from leading to a de facto tax increase on Americans, and a few key components of the income tax code received 7 percent increases. The IRS typically makes small, inflation-related adjustments to the tax code each year. When inflation is relatively tame, the adjustments are moderate.\u00a0…<\/p>\n","category_list":"Income Taxes<\/a>, Taxes<\/a>","author_info":{"name":"ITR Foundation","url":"https:\/\/itrfoundation.org\/author\/blafever\/"},"comments_num":"0 comments","yoast_head":"\nIRS Not Immune To Inflation - ITR Foundation<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/itrfoundation.org\/federal-governments-inflation-adjustment-futile\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"IRS Not Immune To Inflation - ITR Foundation\" \/>\n<meta property=\"og:description\" content=\"Don\u2019t let these changes fool you. Nobody should believe that the pain of inflation is going to be erased by these IRS adjustments. The federal government\u2019s tax collecting agency released their annual inflation adjustments this month, proving that even the IRS is not immune to inflation.\u00a0 These updates are an attempt to keep inflation from leading to a de facto […]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/itrfoundation.org\/federal-governments-inflation-adjustment-futile\/\" \/>\n<meta property=\"og:site_name\" content=\"ITR Foundation\" \/>\n<meta property=\"article:published_time\" content=\"2022-10-24T15:09:51+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2023-01-16T21:06:35+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"800\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"ITR Foundation\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"ITR Foundation\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/itrfoundation.org\/federal-governments-inflation-adjustment-futile\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/itrfoundation.org\/federal-governments-inflation-adjustment-futile\/\"},\"author\":{\"name\":\"ITR Foundation\",\"@id\":\"https:\/\/itrfoundation.org\/#\/schema\/person\/9872e1452dfc667d7a7351356f66f00e\"},\"headline\":\"IRS Not Immune To Inflation\",\"datePublished\":\"2022-10-24T15:09:51+00:00\",\"dateModified\":\"2023-01-16T21:06:35+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/itrfoundation.org\/federal-governments-inflation-adjustment-futile\/\"},\"wordCount\":325,\"publisher\":{\"@id\":\"https:\/\/itrfoundation.org\/#organization\"},\"image\":{\"@id\":\"https:\/\/itrfoundation.org\/federal-governments-inflation-adjustment-futile\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/itrfoundation.org\/wp-content\/uploads\/2022\/10\/irs-inflation-adjustment.jpg\",\"articleSection\":[\"Income Taxes\",\"Taxes\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/itrfoundation.org\/federal-governments-inflation-adjustment-futile\/\",\"url\":\"https:\/\/itrfoundation.org\/federal-governments-inflation-adjustment-futile\/\",\"name\":\"IRS Not Immune To Inflation - 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