Projected U.S. Tax Rates for 2016

Forecast of Individual Income Tax Rates

To give you a head start on the 2016 tax year, Bloomberg BNA has released their tax rate/bracket predictions.

The Federal income tax currently consists of 7 rate brackets: 10%, 15%, 25%, 28%, 33%, 35%, and 39.6%. The amount of tax you owe in April depends on your filing status and income level.

Remember, only the money you earn within a specific tax bracket is subject to that specific tax rate. If you earn more income and move into a higher tax bracket, not all of your income will be taxed at the higher rate.

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Here are the projected Federal tax rates that will apply to your 2016 income (listed by filing status):

Single

Taxable Income	Tax Rate
$0—$9,275	10%
$9,276—$37,650	$927.50 plus 15% of the amount over $9,275
$37,651—$91,150	$5,183.75 plus 25% of the amount over $37,650
$91,151—$190,150	$18,558.75 plus 28% of the amount over $91,150
$190,151—$ 413,350	$46,278.75 plus 33% of the amount over $190,150
$413,351—$415,050	$119,934.75 plus 35% of the amount over $413,350
$415,051 or more	$120,529.75 plus 39.6% of the amount over $415,050

 

Married Filing Jointly or Qualifying Widow(er)

Taxable Income	Tax Rate
$0—$18,550	10%
$18,551—$75,300	$1,855 plus 15% of the amount over $18,550
$75,301—$151,900	$10,367.50 plus 25% of the amount over $75,300
$151,901—$231,450	$29,517.50 plus 28% of the amount over $151,900
$231,451—$413,350	$51,791.50 plus 33% of the amount over $231,450
$413,351—$466,950	$111,818.50 plus 35% of the amount over $413,350
$466,951 or more	$130,578.50 plus 39.6% of the amount over $466,950

 

Married Filing Separately

Taxable Income	Tax Rate
$0—$9,275	10%
$9,276—$37,650	$927.50 plus 15% of the amount over $9,275
$37,651—$75,950	$5,183.75 plus 25% of the amount over $37,650
$75,951—$115,725	$14,758.75 plus 28% of the amount over $75,950
$115,726—$206,675	$25,895.75 plus 33% of the amount over $115,725
$206,676—$233,475	$55,909.25 plus 35% of the amount over $206,675
$233,476 or more	$65,289.25 plus 39.6% of the amount over $233,475

 

Head of Household

Taxable Income	Tax Rate
$0—$13,250	10%
$13,251—$50,400	$1,325 plus 15% of the amount over $13,250
$50,401—$130,150	$6,897.50 plus 25% of the amount over $50,400
$130,151—$210,800	$26,835 plus 28% of the amount over $130,150
$210,801—$413,350	$49,417 plus 33% of the amount over $210,800
$413,351—$441,000	$116,258.50 plus 35% of the amount over $413,350
$441,001 or more	$125,936 plus 39.6% of the amount over $441,000

 

See the full Bloomberg BNA report [PDF] for more 2016 tax figures and projections.

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