RESOURCES AND UPDATES
Key Dates for the 2025 Filing Season (processing 2024 tax year returns):
-
January 27, 2025: The IRS begins accepting and processing individual tax year 2024 returns.
-
April 15, 2025: The deadline to file your 2024 federal income tax return and pay any tax owed.
-
October 15, 2025: The deadline to file for those who received an extension to file.
The IRS has adjusted tax brackets and standard deductions for inflation:
-
Standard Deduction:
-
Single filers: $15,000
-
Married filing jointly: $30,000
-
Head of household: $22,500
-
Additional deduction for seniors (65+): $2,000 for single filers; $1,600 for joint file
-
Tax Brackets:
-
10% on income up to $11,925 (single) / $23,850 (joint)
-
12% on income over $11,925 / $23,850
-
22% on income over $48,475 / $96,950
-
24% on income over $103,350 / $206,700
-
32% on income over $197,300 / $394,600
-
35% on income over $250,525 / $501,050
-
37% on income over $626,350 / $751,600
Legislative Developments: The "One Big Beautiful Bill Act"
In May 2025, the House passed the "One Big Beautiful Bill Act," aiming to extend and modify several provisions of the 2017 Tax Cuts and Jobs Act (TCJA). Key proposals include: The Washington Post+10Wikipedia+10New York Post+10
-
Tax Provisions:
-
Making individual tax cuts from the TCJA permanent
-
Increasing the Child Tax Credit to $2,500 through 2028
-
Introducing deductions for tip income and overtime pay
-
Raising the state and local tax (SALT) deduction cap to $40,000 for taxpayers earning under $500,000 WSJ+18Wikipedia+18Tax Foundation+18Wikipedia+1Wikipedia+1Reuters+1Wikipedia+1
-
-
Spending and Policy Changes:
-
Adding work requirements for Medicaid recipients
-
Reducing funding for programs like SNAP
-
Allocating additional funds for defense and border security New York Post+2Wikipedia+2The Washington Post+2
-
The bill is currently under consideration in the Senate, where it may undergo significant revisions. Its final form and passage remain uncertain.
Key Tax Credits & Adjustments
-
Earned Income Tax Credit (EITC): Maximum credit for taxpayers with three or more qualifying children is $8,046, up from $7,830 in 2024. IRS
-
Child Tax Credit (CTC): The CTC remains at $2,000 per child for 2025. However, discussions are ongoing in Congress about potential expansions or modifications to the credit. Wikipedia+2Wikipedia+2Bipartisan Policy Center+2
-
Alternative Minimum Tax (AMT) Exemption:
-
Single filers: $88,100
-
Married filing jointly: $137,000
-
Phase-out thresholds: $626,350 (single) / $1,252,700 (joint
-