zero bracket amount(redirected from Zero Bracket Amounts)
Also found in: Legal.
Zero Bracket Amount
In the United States, the amount of income not taxed before the Tax Reform Act of 1986. Taxpayers who chose not to itemize deductions subtracted the zero-bracket amount from their adjusted gross income. The amount was indexed to inflation and therefore had the potential to change every tax year. It has since been replaced by the standard deduction.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
zero bracket amount
A largely outdated reference to the standard deduction.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.