Income Tax Rate

 

 

2014 - 2015 Income Tax Rate Calculator

 

Federal IRS Tax Rate CalculatorWith our federal income tax rate calculator you can quickly determine what tax bracket and tax rate you fall into. Our tax rate calculator allows you to select the tax year you are filing and your filing status to determine what tax bracket you fall into. Once this process is complete you will see what income tax rate your tax return will be calculated at for tax rate payments. You can then choose your income tax software for filing.

 

It is important to remember that your actual overall tax rate is a variable figure since each portion of your income is taxes at the tax bracket rate it falls into. As you income increases, each income portion is taxed at it's tax bracket rate then added to the next portion in the next tax bracket.

 

 

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Free Online Federal IRS Income Tax Rates and Brackets Calculator

Calculate Income Tax Rate

 

 

 

Income-Tax-Rate.Com

Income Tax Rate Calculator

Tax laws in the United States are based on a progressive taxing system. With this system you pay a percentage of your income, owing a higher percentage of taxes on higher portions of income, and contributing fewer tax dollars on lower portions of income when you make less money.

Theoretically, a progressive tax system distributes the tax burden more heavily onto those who make more money and thus have more ability to pay, and away from low income families and individuals who canít afford as much.

Over time, tax deductions, credits, exemptions, and loopholes have modified and complicated our system to where the rich can in fact pay a lower percentage than the poor. But basically, the American income tax system uses a relatively simple series of stepped tax rates to determine how much you owe prior to deductions.

Your total federal income tax rate and tax amount owed is based on your adjusted gross income, or net income. When your information is plugged into your tax preparation software program, it fills out your form 1040. Your entries supply the appropriate totals for all of the income you earned from various categories like investments, wages, alimony, unemployment, and business profits.

 

Now you can apply an assortment of deductions, such as charitable contributions, contributing to an IRA or paying student loan interest. Deductions help you to reduce your overall taxable income, ultimately this lowers the amount of taxes you pay Uncle Sam. You may also use the personal tax exemption for yourself as well as a dependant exemption for qualifying dependants to lower your tax burden even more.

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