Tax Rates

Every year, tax rates adjust.

Take a peek at the tax rates for this year. Don’t miss any arrangements, don’t pay too much or too little.

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2021 Tax Rates – Single Taxpayers – Standard Deduction $12,550 2021 Rates

0 to $9,950

$9,950 to $40,525

$40,525 to $86,375

$86,375 to $164,925

$164,925 to $209,425

$209,425 to $523,600

Over $518,400

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

0 to $19,900

$19,900 to $81,050

$81,050 to $172,750

$172,750 to $329,850

$329,850 to $418,850

$418,850 to $628,300

Over $628,300

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

0 to $9,950

$9,950 to $40,525

$40,525 to $86,375

$86,355 to $164,925

$164,925 to $209,425

$209,425 to $314,150

Over $314,150

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

0 to $14,200

$14,200 to $54,200

 

$54,200 to $86,350

 

$86,350 to $164,900

 

$164,900 to $209,400

 

$209,400 to $523,600

 

Over $523,600

 

2021 Tax Rates – Estates & Trusts

0 to $2,650

 

$2,650 to $9,550

$9,550 to $13,050

Over $13,050

Social Security Tax Rate: Employers

2021 Tax Rates : 6.2%

Social Security Tax Rate: Employees

2021 Tax Rates : 6.2%

Social Security Tax Rate: Self-Employed

2021 Tax Rates : 15.3%

Maximum Taxable Earnings

2021 Tax Rates : $142,800

Medicare Base Salary

2021 Tax Rates : Unlimited

Medicare Tax Rate: Employers

2021 Tax Rates : 1.45%

Medicare Tax Rate: Employees

2021 Tax Rates : 1.45%

Additional Medicare Tax for income above $200,000 (single filers) or $250,000 (joint filers)

2021 Tax Rates : 0.9%

Medicare tax on net investment income ($200,000 single filers, $250,000 joint filers)

2021 Tax Rates : 3.8%

Business expensing limit: Cap on equipment purchases

2021 Tax Rates : $2,620,000

Business expensing limit: New and Used Equipment and Software

2021 Tax Rates : $1,050,000

Qualified Business Income threshold amount:

2021 Tax Rates : $164,925 (single and head of household); $329,800 (married filing joint return)

Qualified Small Employer Health Reimbursement Arrangement limit:

2021 Tax Rates : $5,300 (single coverage); $10,700 (family coverage)

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

2021 Tax Rates : 110% of your 2020 tax liability

Standard mileage rate for business driving

2021 Tax Rates : 56 cents

Standard mileage rate for medical driving

2021 Tax Rates : 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

2021 Tax Rates : 16 cents

Standard mileage rate for charitable driving

2021 Tax Rates : 14 cents

Child Tax Credit

2021 Tax Rates : $2,000

Unearned income maximum for children under 19 before kiddie tax applies

2021 Tax Rates : $1,100

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

2021 Tax Rates : 0%

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

2021 Tax Rates : 15%

Maximum capital gains tax rate for taxpayers with income above $445,850 for single filers, $501,600 for married filing jointly

2021 Tax Rates : 20%

 

Capital gains tax rate for unrecaptured Sec. 1250 gains

2021 Tax Rates : 25%

Capital gains tax rate on collectibles

2021 Tax Rates : 28%

Maximum contribution for Traditional/Roth IRA

2021 Tax Rates :
$6,000 if under age 50
$7,000 if 50 or older

Maximum employee contribution to SIMPLE IRA

2021 Tax Rates :
$13,500 if under age 50
$16,500 if 50 or older

Maximum Contribution to SEP IRA

2021 Tax Rates : 25% of eligible compensation up to $58,000

401(k) maximum employee contribution limit

2021 Tax Rates :
$19,500 if under age 50
$26,000 if 50 or older

Estate tax exemption

2021 Tax Rates : $11,700,000

Annual Exclusion for Gifts

2021 Tax Rates : $15,000

American Opportunity Credit (Hope)

2021 Tax Rates : $2,500

Lifetime Learning Credit

2021 Tax Rates : $2,000

Student Loan Interest Deduction

2021 Tax Rates : $2,500

Coverdell Education Savings Contribution

2021 Tax Rates : $2,000

Source: IRS Revenue Procedure 2020-45

Standard Meal Rates for Family Child Care Providers for income tax returns

For each breakfast

2020-21 Tax Rates (July 1, 2020-June 30, 2021) : $1.39

For each lunch or supper

2020-21 Tax Rates (July 1, 2020-June 30, 2021) : $2.61

For each snack (up to 3 per day for each child)

2020-21 Tax Rates (July 1, 2020-June 30, 2021) : $0.78

Source: Federal Register

For each breakfast

2020-21 Tax Rates (July 1, 2020-June 30, 2021) : $2.22

For each lunch or supper

2020-21 Tax Rates (July 1, 2020-June 30, 2021) : $4.24

For each snack (up to 3 per day for each child)

2020-21 Tax Rates (July 1, 2020-June 30, 2021) : $1.26

Source: Federal Register

For each breakfast

2020-21 Tax Rates (July 1, 2020-June 30, 2021) : $1.62

For each lunch or supper

2020-21 Tax Rates (July 1, 2020-June 30, 2021) : $3.06

For each snack (up to 3 per day for each child)

2020-21 Tax Rates (July 1, 2020-June 30, 2021) : $0.91

Source: Federal Register

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