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Tax Rates

2020
 

2020 Tax Rates – Single Taxpayers – Standard Deduction $12,400.

2021 Rates

2019 Rates

10%

0 to $9,875

12%

$9,875 to $40,125

22%

$40,125 to $85,525

24%

$85,525 to $163,300

32%

$163,300 to $207,350

35%

$207,350 to $518,400

37%

Over $518,400

2020 Tax Rates – Married Jointly & Surviving Spouses – Standard Deduction $24,800

10%

0 to $19,750

12%

$19,750 to $80,250

22%

$80,250 to $171,050

24%

$171,050 to $326,600

32%

$326,600 to $414,700

35%

$414,700 to $622,050

37%

Over $622,050

2020 Tax Rates – Married Filing Separately – Standard Deduction $12,400

10%

0 to $9,875

12%

$9,875 to $40,125

22%

$40,125 to $85,525

24%

$85,525 to $163,300

32%

$163,300 to $207,350

35%

$207,350 to $311,025

37%

Over $311,025

2020 Tax Rates – Head of Household – Standard Deduction $18,650

10%

0 to $14,100

12%

$14,100 to $53,700

22%

$53,700 to $85,500

24%

$85,500 to $163,300

32%

$163,300 to $207,350

35%

$207,350 to $518,400

37%

Over $518,400

2020 Tax Rates – Estates & Trusts

10%

0 to $2,600

24%

$2,600 to $9,450

35%

$9,450 to $12,950

37%

Over $12,950

 

 

 

Social Security

2020 Tax Rates

Social Security Tax Rate: Employers

6.2%

Social Security Tax Rate: Employees

6.2%

Social Security Tax Rate: Self-Employed

15.3%

Maximum Taxable Earnings

$137,700

Medicare Base Salary

Unlimited

Medicare Tax Rate: Employers

1.45%

Medicare Tax Rate: Employees

1.45%

Additional Medicare Tax for income above $200,000 (single filers) or $250,000 (joint filers)

0.9%

Medicare tax on net investment income ($200,000 single filers, $250,000 joint filers)

3.8%

Miscellaneous

2020 Tax Rates

Business expensing limit: Cap on equipment purchases

$2,590,000

Business expensing limit: New and Used Equipment and Software

$1,040,000

Qualified Business Income threshold amount:

$163,300 (single and head of household); $326,600 (married filing joint return)

Qualified Small Employer Health Reimbursement Arrangement limit:

$5,250 (single coverage); $10,450 (family coverage)

Prior-year safe harbor for estimated taxes of higher-income

110% of your 2019 tax liability

Standard mileage rate for business driving

57.5 cents

Standard mileage rate for medical driving

17 cents

Standard mileage rate for moving driving – Members of the Armed Forces on active duty who move because of a permanent change of station

17 cents

Standard mileage rate for charitable driving

14 cents

Child Tax Credit

$2,000

Unearned income maximum for children under 19 before kiddie tax applies

$1,100

Maximum capital gains tax rate for taxpayers with income up to $40,000 for single filers, $80,000 for married filing jointly

0%

Maximum capital gains tax rate for taxpayers with income above $40,000 for single filers, $80,000 for married filing jointly

15%

Maximum capital gains tax rate for taxpayers with income above $441,450 for single filers, $496,600 for married filing jointly

20%

Capital gains tax rate for unrecaptured Sec. 1250 gains

25%

Capital gains tax rate on collectibles

28%

Maximum contribution for Traditional/Roth IRA

$6,000 if under age 50
$7,000 if 50 or older

Maximum employee contribution to SIMPLE IRA

$13,500 if under age 50
$16,500 if 50 or older

Maximum Contribution to SEP IRA

25% of eligible compensation
up to $57,000

401(k) maximum employee contribution limit

$19,500 if under age 50
$26,000 if 50 or older

Estate tax exemption

$11,580,000

Annual Exclusion for Gifts

$15,000

Education

2020 Tax Rates

American Opportunity Credit (Hope)

$2,500

Lifetime Learning Credit

$2,000

Student Loan Interest Deduction

$2,500

Coverdell Education Savings Contribution

$2,000

Source: IRS Revenue Procedure 2019-44

Standard Meal Rates for Family Child Care Providers for income tax returns

Continental U.S.

2020-21 Tax Rates (July 1, 2020-June 30, 2021)

For each breakfast

$1.39

For each lunch or supper

$2.61

For each snack (up to 3 per day for each child)

$0.78

Alaska

2020-21 Tax Rates (July 1, 2020-June 30, 2019)

For each breakfast

$2.22

For each lunch or supper

$4.24

For each snack (up to 3 per day for each child)

$1.26

Hawaii

2020-21 Tax Rates (July 1, 2020-June 30, 2021)

For each breakfast

$1.62

For each lunch or supper

$3.06

For each snack (up to 3 per day for each child)

$0.91

Source: Federal Register

 

 

 

 

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