{"id":14024,"date":"2020-08-13T15:52:00","date_gmt":"2020-08-13T15:52:00","guid":{"rendered":"https:\/\/myinfobag.com\/?p=14024"},"modified":"2020-08-13T15:52:04","modified_gmt":"2020-08-13T15:52:04","slug":"know-about-the-federal-income-tax-bracket","status":"publish","type":"post","link":"https:\/\/myinfobag.com\/?p=14024","title":{"rendered":"Know about the Federal Income Tax Bracket"},"content":{"rendered":"\n

In Nov 2019, the IRS released the tax brackets and rules for the year 2020-2021. This time the IRS has made specific changes in the tax rates and deductions. The standard deduction amount is raised to $12,400 for both single filers and married couples filing separately. However, married couples filing jointly can deduct $24,800, and those filing as heads of households can deduct $18,650. Moreover, the marginal income tax rate of 37% will be applicable for the taxpayers with a taxable income of $518,400 or higher (for single filers) and $622,050 or higher (for married couples filing jointly). In this article, we will discuss the federal income tax bracket.<\/p>\n\n\n\n

Federal Income Tax Bracket<\/strong><\/h3>\n\n\n\n

 Here you can see the Federal Income Tax Bracket and Rates for 2020-21.<\/p>\n\n\n\n

Tax Rate <\/strong><\/td>For single Individuals<\/strong><\/td>For Married Individual filing jointly<\/strong><\/td>For Married Individuals filing separately<\/strong><\/td>For head of households<\/strong><\/td><\/tr>
10%<\/strong><\/td>$0 to $9,875<\/td>$0 to $19,750<\/td>$0 to $9,875<\/td>$0 to $13,850<\/td><\/tr>
12%<\/strong><\/td>$9,876 to $40,125<\/td>$19,751 to $80,250<\/td>$9,876 to $40,125<\/td>$13,851 to $52,850<\/td><\/tr>
22%<\/strong><\/td>$40,126 to $85,525<\/td>$80,251 to $171,050<\/td>$40,126 to $85,525<\/td>$52,851 to $84,200<\/td><\/tr>
24%<\/strong><\/td>$85,526 to $163,300<\/td>
$171,051 to $326,600
<\/td>		$85,526 to $163,300<\/td>
$84,201 to $160,700
<\/td><\/tr>
32%<\/strong><\/td>$163,301 to $207,350<\/td>$326,601 to $414,700<\/td>$163,301 to $207,350<\/td>$160,701 to $204,100<\/td><\/tr>
35%<\/strong><\/td>$207,351 to $518,400<\/td>$414,701 to $622,050<\/td>$207,351 to $311,025<\/td>
$204,101 to $510,300
<\/td><\/tr>
37%<\/strong><\/td>$518,401 or more<\/td>$622,051 or more<\/td>$311,026 or more<\/td>$510,301 or more<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

How to Calculate Taxable Income\u00a0<\/strong><\/h3>\n\n\n\n

Calculation of taxable income requires a little bit of mathematics.<\/p>\n\n\n\n