Tax Rates

10%

0 to $9,950

12%

$9,950 to $40,525

22%

$40,525 to $86,375

24%

$86,375 to $164,925

32%

$164,925 to $209,425

35%

$209,425 to $523,600

37%

Over $518,400

2021 Tax Rates – Married Jointly & Surviving Spouses – Standard Deduction $25,100

10%

0 to $19,900

12%

$19,900 to $81,050

22%

$81,050 to $172,750

24%

$172,750 to $329,850

32%

$329,850 to $418,850

35%

$418,850 to $628,300

37%

Over $628,300

2021 Tax Rates – Married Filing Separately – Standard Deduction $12,550

10%

0 to $9,950

12%

$9,950 to $40,525

22%

$40,525 to $86,375

24%

$86,355 to $164,925

32%

$164,925 to $209,425

35%

$209,425 to $314,150

37%

Over $314,150

2021 Tax Rates – Head of Household – Standard Deduction $18,800

10%

0 to $14,200

12%

$14,200 to $54,200

22%

$54,200 to $86,350

24%

$86,350 to $164,900

32%

$164,900 to $209,400

35%

$209,400 to $523,600

37%

Over $523,600

2021 Tax Rates – Estates & Trusts

10%

0 to $2,650

24%

$2,650 to $9,550

35%

$9,550 to $13,050

37%

Over $13,050

Social Security

2021 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

$142,800

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

2021 Tax Rates

Business expensing limit: Cap on equipment purchases

$2,620,000

Business expensing limit: New and Used Equipment and Software

$1,050,000

Qualified Business Income threshold amount:

$164,925 (single and head of household); $329,800 (married filing joint return)

Qualified Small Employer Health Reimbursement Arrangement limit:

$5,300 (single coverage); $10,700 (family coverage)

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

110% of your 2020 tax liability

Standard mileage rate for business driving

56 cents

Standard mileage rate for medical driving

16 cents

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

16 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 $40,400 for single filers, $80,800 for married filing jointly

0%

Maximum capital gains tax rate for taxpayers with income above $40,400 for single filers, $80,800 for married filing jointly

15%

Maximum capital gains tax rate for taxpayers with income above $445,850 for single filers, $501,600 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 $58,000

401(k) maximum employee contribution limit

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

Estate tax exemption

$11,700,000

Annual Exclusion for Gifts

$15,000

Education

2021 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 2020-45

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, 2021)

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