January 25, 2019 wagnertax

Tax Rates and Brackets

The New Federal Income Tax Brackets by Filing Status (for Taxes Due April 15, 2019)

It’s official! The Tax Cuts and Jobs Act was signed into law and took effect on January 1, 2018. This new tax plan brought sweeping changes to the American tax law system, beginning with the income tax brackets. Below is a comparison of the 2017 brackets with the new tax brackets for 2018.

Single FilersOld Brackets (2017)New Brackets (2018)

%Income%Income
10$0 – $9,32510$0 – $9,525
15$9,326 – $37,95012$9,526 – $38,700
25$37,951 – $91,90022$38,701 – $82,500
28$91,901 – $191,65024$82,501 – $157,500
33$191,651 – $416,70032$157,501 – $200,000
35$416,701 – $418,40035$200,001 – $500,000
39.6$418,401 or more37$500,001 or more

Married Filing SeparatelyOld Brackets (2017)New Brackets (2018)

%Income%Income
10$0 – $9,32510$0 – $9,525
15$9,326 – $37,95012$9,526 – $38,700
25$37,951 – $76,55022$38,701 – $82,500
28$76,551 – $116,67524$82,501 – $157,000
33$116,676 – $208,35032$157,001 – $200,000
35$208,351 – $235,35035$200,001 – $300,000
39.6$245,351 or more37$300,000 or more

Married Filing Jointly (and Qualifying Widow/ers with Dependent)Old Brackets (2017)New Brackets (2018)

%Income%Income
10$0 – $18,65010$0 – $19,050
15$18,651 – $75,90012$19,051 – $77,400
25$75,901 – $153,10022$77,401 – $165,000
28$153,101 – $233,35024$165,001 – $315,000
33$233,351 – $416,70032$315,001 – $400,000
35$416,701 – $470,70035$400,001 – $600,000
39.6$470,701 or more37$600,001 or more

Head of HouseholdOld Brackets (2017)New Brackets (2018)

%Income%Income
10$0 – $13,35010$0 – $13,600
15$13,351 – $50,80012$13,601 – $51,800
25$50,801 – $131,20022$51,801 – $82,500
28$131,201 – $212,50024$82,501 – $157,000
33$212,501 – $416,70032$157,001 – $200,000
35$416,701 – $444,50035$200,001 – $500,000
39.6$444,501 or more37$500,001 or more

There are still seven brackets – that has not changed – but the income range in each bracket is different beginning in 2018. The tax rates are lower in almost every bracket as well. This means that overall, Americans should be paying less income tax under the Tax Cuts and Jobs Act.