Tax Rates
2020
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10% |
0 to $9,875 |
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12% |
$9,875 to $40,125 |
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22% |
$40,125 to $85,525 |
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24% |
$85,525 to $163,300 |
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32% |
$163,300 to $207,350 |
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35% |
$207,350 to $518,400 |
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37% |
Over $518,400 |
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2020 Tax Rates – Married Jointly & Surviving Spouses – Standard Deduction $24,800 |
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10% |
0 to $19,750 |
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12% |
$19,750 to $80,250 |
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22% |
$80,250 to $171,050 |
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24% |
$171,050 to $326,600 |
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32% |
$326,600 to $414,700 |
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35% |
$414,700 to $622,050 |
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37% |
Over $622,050 |
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2020 Tax Rates – Married Filing Separately – Standard Deduction $12,400 |
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10% |
0 to $9,875 |
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12% |
$9,875 to $40,125 |
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22% |
$40,125 to $85,525 |
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24% |
$85,525 to $163,300 |
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32% |
$163,300 to $207,350 |
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35% |
$207,350 to $311,025 |
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37% |
Over $311,025 |
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2020 Tax Rates – Head of Household – Standard Deduction $18,650 |
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10% |
0 to $14,100 |
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12% |
$14,100 to $53,700 |
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22% |
$53,700 to $85,500 |
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24% |
$85,500 to $163,300 |
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32% |
$163,300 to $207,350 |
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35% |
$207,350 to $518,400 |
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37% |
Over $518,400 |
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2020 Tax Rates – Estates & Trusts |
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10% |
0 to $2,600 |
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24% |
$2,600 to $9,450 |
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35% |
$9,450 to $12,950 |
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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 |
Maximum employee contribution to SIMPLE IRA |
$13,500 if under age 50 |
Maximum Contribution to SEP IRA |
25% of eligible compensation |
401(k) maximum employee contribution limit |
$19,500 if under age 50 |
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 |
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Standard Meal Rates for Family Child Care Providers for income tax returns |
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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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