What are the Current IRS Federal Tax Brackets?

Table of Contents

What are the IRS Federal Tax Brackets?

What are the current IRS tax filing brackets?

Are you curious about how much you will owe in taxes this year? Wonder no more! The IRS has released the newest Federal Tax Brackets, and we have them all listed here for you.

It’s important to understand how the IRS tax brackets work and to see what current rate you are taxed at to accurately calculate your tax refund or liability for the tax year. In addition, it is interesting to see how the tax brackets have changed over time.

Keep in mind that these brackets are just for reference - your actual tax bill may be different depending on your income, deductions, and other factors. But this should give you a good idea of where you stand. So how much will you pay? Check out our breakdown below!

2023 Federal Tax Brackets Chart

Here are the 2023 tax rates and brackets organized by filing status:

Single

Tax Rate
Taxable Income Taxes You Pay
10% $0 to $9,950 10% of taxable income
12% $9,951 to $40,525 $995 plus 12% of the amount over $9,950
22% $40,526 to $86,375 $4,664 plus 22% of the amount over $40,525
24% $86,376 to $164,925 $14,751 plus 24% of the amount over $86,375
32% $164,926 to $209,425 $33,603 plus 32% of the amount over $164,925
35% $209,426 to $523,600 $47,843 plus 35% of the amount over $209,425
37% $523,601 or more $157,804.25 plus 37% of the amount over $523,600

 

Married Filing Jointly or Qualifying Widow(er)

Tax Rate Taxable Income Taxes You Pay
10% $0 to $19,900 10% of taxable income
12% $19,901 to $81,050 $1,990 plus 12% of the amount over $19,900
22% $81,051 to $172,750 $9,328 plus 22% of the amount over $81,050
24% $172,751 to $329,850 $29,502 plus 24% of the amount over $172,750
32% $329,851 to $418,850 $67,206 plus 32% of the amount over $329,850
35% $418,851 to $628,300 $95,686 plus 35% of the amount over $418,850
37% $628,301 or more $168,993.50 plus 37% of the amount over $628,300

 

Married Filing Separately

Tax Rate Taxable Income Taxes You Pay
10% $0 to $9,950 10% of taxable income
12% $9,951 to $40,525 $995 plus 12% of the amount over $9,950
22% $40,526 to $86,375 $4,664 plus 22% of the amount over $40,525
24% $86,376 to $164,925 $14,751 plus 24% of the amount over $86,375
32% $164,926 to $209,425 $33,603 plus 32% of the amount over $164,925
35% $209,426 to $314,150 $47,843 plus 35% of the amount over $209,425
37% $314,151 or more $84,496.75 plus 37% of the amount over $314,150

 

Head of Household

Tax Rate Taxable Income Tax Rate
10% $0 to $14,200 10% of taxable income
12% $14,201 to $54,200 $1,420 plus 12% of the amount over $14,200
22% $54,201 to $86,350 $6,220 plus 22% of the amount over $54,200
24% $86,351 to $164,900 $13,293 plus 24% of the amount over $86,350
32% $164,901 to $209,400 $32,145 plus 32% of the amount over $164,900
35% $209,401 to $523,600 $46,385 plus 35% of the amount over $209,400
37% $523,601 or more $156,355 plus 37% of the amount over $523,600

 

Standard Deduction Amounts

Filing Status Standard Deduction
Single $12,550
Married Filing Jointly or Qualifying Widow(er) $25,100
Married Filing Separately $12,550
Head of Household $18,800

Source: https://www.irs.gov/

How to Calculate Your Tax Rate Using the Tax Bracket Calculator

Your tax bracket is incredibly important because it’s the pivotal piece of information that defines your taxes. Therefore, you must know which tax bracket you fall into so you know which percentage you’ll be paying from your income and which segments of your income fall into which bracket.

The United States Internal Revenue Service uses a tax bracket system. The tax rate increases as the level of taxable income increases. The 2022 tax rate ranges from 10% to 37%. Use this tax bracket calculator to discover which bracket you fall in.

Being in a “higher tax bracket” doesn’t mean all your income is taxed at that rate. The tax bracket rate is a marginal tax – each level of income is taxed at its own bracket rate such as tax brackets for married filing jointly – as opposed to the total income being taxed at the highest tax rate, which is a common misconception. So although your income may fall in a higher tax bracket, your effective tax rate is much lower.

What is Taxable Income?

Taxable income is the amount of income you report to the IRS after taking all tax deductions, exemptions, and standard deductions on the tax return. The gross income minus all deductions and exemptions are the amounts used to calculate how much tax liability you owe for the tax year.

Knowing how much income and deductions you can claim during the year can help estimate your tax refund or liability. In addition, specific tax planning strategies such as investments in IRA or 401(k) can be used to minimize the tax burden.

The current IRS Federal income tax brackets above should be used to figure out your taxable income. In general, the more income you have, the higher your tax liability.

Save Time and Aggravation by filing your taxes online!

If you're thinking about filing your taxes online, we can help! We have a step-by-step guide that will walk you through the process. And if you have any questions, our tax experts are always here to help. So what are you waiting for? Get started today!