Saul Loeb | AFP | Getty Images
President Donald Trump speaks about the tax reform legislation in the Grand Foyer of the White House in Washington, DC, December 13, 2017.
It’s now 2018, and a raft of changes to the tax code are in effect – including updates to income tax brackets.
The Tax Cuts and Jobs Act, signed into law by President Donald Trump in December, maintains the same seven-bracket structure that was in force previously. However, Congress has tweaked the rates and the income levels at which they apply.
Prior to the new law, the seven tax brackets were 10 percent, 15 percent, 25 percent, 28 percent, 33 percent, 35 percent and 39.6 percent.
Now, the tax code pegs the new rates at 10 percent, 12 percent, 22 percent, 24 percent, 32 percent, 35 percent and 37 percent.