Tax Rates

2020 Tax Rates

2020 Tax Rates Schedule X - Single
If taxable income is overBut not overThat tax is
$0

$9,87510% of the taxable amount
$9,875$40,125$987.50 plus 12% of the excess over $9,875
$40,125$85,525$4,617.50 plus 22% of the excess over $40,125
$85,525$163,300$14,605.50 plus 24% of the excess over $85,525
$163,300$207,350$33,271.50 plus 32% of the excess over $163,300
$207,350$518,400$47,367.50 plus 35% of the excess over $207,350
$518,400no limit$156,235.00 plus 37% of the excess over $518,400

2020 Tax Rates Schedule Y-1 - Married Filing Jointly or Qualifying Widow(er)
If taxable income is overBut not overThe tax is
$0$19,75010% of the taxable amount
$19,750$80,250$1,975.00 plus 12% of the excess over $19,750
$80,250$171,050$9,235.00 plus 22% of the excess over $80,250
$171,050$326,600$29,211.00 plus 24% of the excess over $171,050
$326,600$414,700$66,543.00 plus 32% of the excess over $326,600
$414,700$622,050$94,735.00 plus 35% of the excess over $414,700
$622,050no limit$167,307.50 plus 37% of the excess over $622,050

2020 Tax Rates Schedule Y-2 - Married Filing Separately
If taxable income is overBut not overThe tax is
$0$9,87510% of the taxable amount
$9,875$40,125$987.50 plus 12% of the excess over $9,875
$40,125$85,525$4,617.50 plus 22% of the excess over $40,125
$85,525$163,300$14,605.50 plus 24% of the excess over $85,525
$163,300$207,350$33,271.50 plus 32% of the excess over $163,300
$207,350$311,025$47,367.50 plus 35% of the excess over $207,350
$311,025no limit$83,653.75 plus 37% of the excess over $311,025

2020 Tax Rates Schedule Z - Head of Household
If taxable income is overBut not overThe tax is
$0$14,10010% of the taxable amount
$14,100$53,700$1,410.00 plus 12% of the excess over $14,100
$53,700$85,500$6,162.00 plus 22% of the excess over $53,700
$85,500$163,300$13,158.00 plus 24% of the excess over $85,500
$163,300$207,350$31,830.00 plus 32% of the excess over $163,300
$207,350$518,400$45,926.00 plus 35% of the excess over $207,350
$518,400no limit$154,793.50 plus 37% of the excess over $518,400

2020 Tax Rates Estates & Trusts
If taxable income is overBut not overThe tax is
$0$2,60010% of the taxable income
$2,600$9,450$260.00 plus 24% of the excess over $2,600
$9,450$12,950$1,904.00 plus 35% of the excess over $9,450
$12,950no limit$3,129.00 plus 37% of the excess over $12,950

Social Security 2020 Tax Rates
Base Salary$137,700
Social Security Tax Rate6.20%
Maximum Social Security Tax$8,537.40
Medicare Base Salaryunlimited
Medicare Tax Rate1.45%

Additional Medicare 2020 Tax Rates
Additional Medicare Tax0.90%
Filing statusCompensation over
Married filing jointly$250,000
Married filing separate$125,000
Single$200,000
Head of household (with qualifying person)$200,000
Qualifying widow(er) with dependent child$200,000

Education 2020 Credit and Deduction Limits
American Opportunity Tax Credit (Hope)$2,500
Lifetime Learning Credit$2,000
Student Loan Interest Deduction$2,500
Coverdell Education Savings Contribution$2,000

Miscellaneous 2020 Tax Rates
Standard Deduction:
· Married filing jointly or Qualifying Widow(er)$24,800
· Head of household$18,650
· Single or Married filling separately$12,400
Business Equipment Expense Deduction$1,040,000
Prior-year safe harbor for estimated taxes of higher-income110% of your 2019 tax liability
Standard mileage rate for business driving57.5 cents
Standard mileage rate for medical/moving driving17 cents
Standard mileage rate for charitable driving14 cents
Child Tax Credit$2,000 per qualifying child
Maximum capital gains tax rate for taxpayers with adjusted net capital gain up to $80,000 for joint filers and surviving spouses, $53,600 for heads of household, $40,000 for single filers, $40,000 for married taxpayers filing separately, and $2,650 for estates and trusts0%
Maximum capital gains tax rate for taxpayers with adjusted net capital gain over the amount subject to the 0% rate, and up to $496,600 for joint filers and surviving spouses, $469,050 for heads of household, $441,450 for single filers, $248,300 for married taxpayers filing separately, and $13,150 for estates and trusts15%
Maximum capital gains tax rate for taxpayers with adjusted net capital gain over $496,600 for joint filers and surviving spouses, $469,050 for heads of household, $441,450 for single filers, $248,300 for married taxpayers filing separately, and $13,150 for estates and trusts20%
Capital gains tax rate for unrecaptured Sec. 1250 gains25%
Capital gains tax rate on collectibles and qualified small business stock28%
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 IRA25% of compensation up to $57,000
401(k) maximum employee contribution limit$19,500 if under age 50
$26,000 if 50 or older
Self-employed health insurance deduction100%
Estate tax exemption$11,580,000
Annual Exclusion for Gifts$15,000
Foreign Earned Income Exclusion$107,600

Your Trusted Local CPA Firm

Providing personalized financial guidance to local individuals and businesses.