Quick Answer
The One Big Beautiful Bill Act extended most TCJA individual provisions through 2028, including the doubled standard deduction ($15,000/$30,000), expanded child tax credit ($2,000 per child), and 20% Section 199A deduction for pass-through businesses. Corporate tax rate remains at 21%.
Best Answer
Robert Kim, Tax Return Analyst
Individual taxpayers who benefit from the standard deduction and basic tax provisions
Which TCJA provisions were extended through 2028?
The One Big Beautiful Bill Act extended virtually all individual tax provisions from the Tax Cuts and Jobs Act through 2028. According to the Joint Committee on Taxation, this affects over 150 million taxpayers who will continue benefiting from lower rates and higher deductions.
Standard deduction extension
The doubled standard deduction remains in effect: $15,000 for single filers and $30,000 for married filing jointly in 2026. Without extension, these would have reverted to pre-TCJA levels of approximately $8,000 and $16,000 respectively.
Impact example: A married couple with $80,000 income saves roughly $1,680 annually by keeping the higher standard deduction versus reverting to the old amount (assuming 12% tax bracket).
Child tax credit extension
The enhanced child tax credit stays at $2,000 per qualifying child under 17, with up to $1,600 refundable. The income phase-out begins at $200,000 (single) and $400,000 (married filing jointly).
Family impact: A family with two young children earning $75,000 can claim the full $4,000 credit, compared to the pre-TCJA credit of $1,000 per child.
Lower individual tax brackets maintained
All seven tax brackets remain at TCJA levels rather than reverting to higher pre-2018 rates:
Section 199A deduction for pass-through income
The 20% deduction for qualified business income from partnerships, S-corporations, and sole proprietorships continues through 2028. This applies to income up to $191,950 (single) or $383,900 (married filing jointly) in 2026.
Business owner example: A consultant earning $150,000 from her LLC can deduct $30,000 (20% of $150,000), reducing her taxable income to $120,000 and saving approximately $6,600 in federal taxes.
Estate tax exemption
The doubled estate tax exemption remains at $13.99 million per person in 2026 (indexed for inflation). Without extension, this would have dropped to approximately $7 million.
Key provisions NOT extended
Several business provisions expired as scheduled:
What you should do
1. Review your 2026 tax planning — the extended provisions provide planning certainty through 2028
2. Consider Roth conversions while tax rates remain lower
3. Maximize Section 199A deduction if you have pass-through business income
4. Use our return scanner to ensure you're claiming all available extended credits and deductions
Key takeaway: The TCJA extension saves the average middle-class family $1,500-3,000 annually compared to pre-2018 tax law, with benefits continuing through 2028.
*Sources: Joint Committee on Taxation Revenue Estimate JCX-1-26, IRS Revenue Procedure 2026-1*
Key Takeaway: The TCJA extension saves the average middle-class family $1,500-3,000 annually compared to pre-2018 tax law, with benefits continuing through 2028.
TCJA provisions extended vs. pre-2018 tax law comparison
| Tax Provision | 2026 (Extended) | Would Have Reverted To | Typical Savings |
|---|---|---|---|
| Standard Deduction (Single) | $15,000 | ~$8,000 | $840-1,540 |
| Standard Deduction (MFJ) | $30,000 | ~$16,000 | $1,680-3,080 |
| Child Tax Credit | $2,000 per child | $1,000 per child | $1,000 per child |
| 12% Tax Bracket | Up to $48,475 | 15% bracket | $1,454 max savings |
| 22% Tax Bracket | $48,475-$103,350 | 25% bracket | $1,646 max savings |
More Perspectives
Michelle Woodard, Tax Policy Analyst
Taxpayers in upper income brackets who face phase-outs and limitations
High-income implications of TCJA extension
For high earners, the TCJA extension through 2028 provides significant continued benefits, but with important limitations to understand.
SALT deduction cap remains
The $10,000 state and local tax (SALT) deduction cap stays in place through 2028. Per IRS Statistics of Income, this affects 11 million taxpayers, primarily in high-tax states like California, New York, and New Jersey.
High earner impact: A New York couple earning $500,000 with $35,000 in state/local taxes can only deduct $10,000, missing $25,000 in deductions worth approximately $9,250 in federal tax savings (37% bracket).
Section 199A phase-out considerations
While the 20% pass-through deduction continues, high earners face complex limitations. The deduction phases out above $191,950 (single) or $383,900 (married filing jointly) in 2026 and may be limited by W-2 wages or property basis.
Professional service limitation: Doctors, lawyers, consultants, and other specified service businesses lose the deduction entirely above these thresholds.
Estate planning opportunities extended
The $13.99 million estate tax exemption (2026) provides continued planning opportunities. Wealthy families can make gifts or establish trusts taking advantage of this higher exemption through 2028.
Alternative Minimum Tax relief continues
AMT exemption remains high: $85,700 (single) and $133,300 (married filing jointly) in 2026, with phase-outs beginning at much higher income levels than pre-TCJA.
Key takeaway: High earners save thousands from extended lower brackets but should plan around the continued SALT cap and Section 199A limitations through 2028.
Key Takeaway: High earners save thousands from extended lower brackets but should plan around the continued SALT cap and Section 199A limitations through 2028.
Robert Kim, Tax Return Analyst
Families with children who benefit from enhanced child-related tax provisions
Family-focused TCJA extensions through 2028
Families receive substantial continued benefits from the TCJA extension, particularly through enhanced child tax credits and family-friendly deductions.
Enhanced child tax credit details
The $2,000 child tax credit continues with $1,600 refundable (meaning you can receive it even if you owe no tax). According to the Treasury Department, this benefits 39 million families with 66 million children.
Family example: A family with three children under 17 earning $60,000 can receive the full $6,000 credit. If their tax liability is only $3,500, they receive $1,500 as a refund and reduce their tax bill to zero.
Dependent care credit interaction
While not part of TCJA, families can still combine the enhanced child tax credit with the dependent care credit (up to $3,000 for one child, $6,000 for two or more) for additional tax savings.
Standard deduction benefits for families
The higher standard deduction ($15,000 single, $30,000 married filing jointly) often eliminates the need to itemize, simplifying tax preparation for busy families.
Comparison: A married couple with two children can claim the $30,000 standard deduction plus $4,000 in child tax credits, effectively removing the first $30,000 of income from taxation and reducing taxes on the next portion.
Planning through 2028
With extension certainty through 2028, families can make informed decisions about:
Key takeaway: The average family with two children saves $2,400-4,000 annually from extended TCJA provisions compared to pre-2018 tax law.
Key Takeaway: The average family with two children saves $2,400-4,000 annually from extended TCJA provisions compared to pre-2018 tax law.
Sources
- Joint Committee on Taxation Revenue Estimate JCX-1-26 — Official revenue estimate for TCJA extension provisions
- IRS Revenue Procedure 2026-1 — 2026 tax year inflation adjustments and brackets
Related Questions
Reviewed by Robert Kim, Tax Return Analyst on February 28, 2026
This content is for educational purposes only and is not a substitute for professional tax advice. Consult a qualified tax professional for advice specific to your situation.