Fed Income Tax Rates 2024 Chart. You pay tax as a percentage of your income in layers called tax brackets. Tax rates, which indicates inflation adjusted amounts in the tax code will increase 5.4% from 2023.

In 2021, taxpayers with higher incomes paid much higher average income tax rates than taxpayers with lower incomes. The internal revenue service adjusts federal income tax brackets annually to account for inflation, and the new brackets can help you estimate your tax obligation.