2013 Federal Income Tax Brackets, Show This To Anyone That Believes That Taxes Are Too Low

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2013 Federal Income Tax Brackets, Show This To Anyone That Believes That Taxes Are Too Low
Friday, December 7, 2012 10:50

Individual Income Taxes and Payroll Taxes make up 81% of Total Tax Revenue. That’s 81%  from you and I, along with our employers and small businesses.

In 2013 it is going to get even worse. The 2013 Federal Income Tax Brackets listed below will show you 3 possible scerarios for what to expect for tax increases next year and yes it will affect everyone who earns any type of income.

While Corporations that have lobbyist in Washington D.C. pay only  9% of total tax revenue, yet they brag of record earnings year after year. Handing out unimaginable bonuses to their executives.

Raising Taxees is not the answer, cutting the size of government and cutting reckless spending is the solution.

 

Here are the tax increases you have to look forward too this year.

Congress has not yet made clear what the situation will be in 2013, The Tax Foundation can only make predictions about the coming year’s tax rates.

These are the three most likely scenarios for 2013 tax brackets:

  • The extension of the Bush-era tax cuts for all taxpayers.
  • The expiration of the Bush-era tax cuts for all taxpayers.
  • The expiration of the Bush-era tax cuts for taxpayers with high incomes.

Because these three proposals already exist and are detailed enough to draw predicted tax brackets, it’s easy to present the scenarions and be relatively confident about the results for taxpayers under each.

 

Scenario 1: Tax cuts under the extension of the Bush-era tax cuts for all

Rate Single Filers Married Joint Filers Head of Household Filers
10% $0 to $8,950 $0 to $17,900 $0 to $12,750
15% $8,950 to $36,250 $17,900 to $72,500 $12,750 to $48,600
25% $36,250 to $87,850 $72,500 to $146,400 $48,600 to $125,450
28% $87,850 to $183,250 $146,400 to $223,050 $125,450 to $203,150
33% $183,250 to $398,350 $223,050 to $398,350 $203,150 to $398,350
35% $398,350 and up $398,350 and up $398,350 and up

Scenario 2: Tax brackets under the expiration of the Bush-era tax cuts for all

Rate Single Filers Married Joint Filers Head of Household Filers
15% $0 to $36,250 $0 to $60,550 $0 to $48,600
28% $36,250 to $87,850 $60,550 to $146,400 $48,600 to $125,450
31% $87,850 to $183,250 $146,400 to $223,050 $125,450 to $203,150
36% $183,250 to $398,350 $223,050 to $398,350 $203,150 to $398,350
39.60% $398,350 and up $398,350 and up $398,350 and up

Scenario 3: Tax brackets under the expiration of the Bush-era tax cuts for high-income

Rate Single Filers Married Joint Filers Head of Household Filers
10% $0 to $8,950 $0 to $17,900 $0 to $12,750
15% $8,950 to $36,250 $17,900 to $72,500 $12,750 to $48,600
25% $36,250 to $87,850 $72,500 to $146,400 $48,600 to $125,450
28% $87,850 to $183,250 $146,400 to $223,050 $125,450 to $203,150
33% $183,250 to $203,600 $223,050 to $247,000 $203,150 to $227,300
36% $203,600 to $398,350 $247,000 to $398,350 $227,300 to $398,350
39.60% $398,350 and up $398,350 and up $398,350 and up

That calculation results in $5,437.50 plus $14,448 plus $3,766.50, or $23,652. That’s an effective tax rate of about 23.7% before your credits are taken into account, assuming your taxable income is the same as your gross income.

Your effective tax rate could be much lower if deductions have already reduced your taxable income to $100,000 from a larger gross income.

For example, if a 401(k) contribution reduced your taxable income from $115,000 to $100,000, you would still use the same tax calculation I’ve described here, but your effective tax rate would be 20.6%.Keep in mind that the tax rates listed in these tables are marginal rates.

That means that you do not owe your rate on all of your income. For example, if you single, you earn $100,000 per year, and Scenario 2 (tax cuts expire for all) is the prevailing law, you would not owe 31% on all of your income — you would not owe $38,000 to the federal government.

You would owe 15% of 36,250, 28% of $51,600 (the difference between the top and the threshold of the second tax bracket), and 31% of $12,150 (the difference between your income and the threshold of the third tax bracket).

The federal government may not declare which scenario will apply to 2013, and even when the decision has been made, there’s a chance that the tax brackets might differ slightly from one of these hypothetical scenarios. There may be several months before we have a clear indication of how to calculate our taxes for 2013.

Each year, Americans spend billions of hours and hundreds of billions of dollars trying to comply with federal tax requirements. Sadly, it is the honest, hard working Americans in the middle class that always get hit the hardest.

Our politicians love to find ways that they can “raise revenue” without us feeling it.  Most people just focus on income tax rates and they forget about the dozens of other ways that they are bleeding us dry.

  If you know of anyone out there that believes that taxes are “too low”, please show this article to them.

The following are 52 more taxes that at least some average Americans are paying now or will be paying soon other than federal, state and local income taxes…Sadly, this list is far from complete.  There are many more forms of taxation that could be included.

Accounts Receivable Tax

Building Permit Tax

Capital Gains Tax

CDL license Tax

Cigarette Tax

Corporate Income Tax

Court Fines (indirect taxes)

Dog License Tax

Federal Income Tax

Federal Unemployment Tax (FUTA)

Fishing License Tax

Food License Tax

Fuel permit tax

Gasoline Tax (42 cents per gallon)

Hunting License Tax

Inheritance Tax Interest expense (tax on the money)

Inventory tax IRS Interest Charges (tax on top of tax)

IRS Penalties (tax on top of tax)

Liquor Tax

Local Income Tax

Luxury Taxes

Marriage License Tax

Medicare Tax

Property Tax

Real Estate Tax

Septic Permit Tax

Service Charge Taxes

Social Security Tax

Road Usage Taxes (Truckers)

Sales Taxes

Recreational Vehicle Tax

Road Toll Booth Taxes

School Tax

State Income Tax

State Unemployment Tax (SUTA)

Telephone federal excise tax

Telephone federal universal service fee tax

Telephone federal, state and local surcharge taxes

Telephone minimum usage surcharge tax

Telephone recurring and non-recurring charges tax

Telephone state and local tax

Telephone usage charge tax

Toll Bridge Taxes

Toll Tunnel Taxes

Traffic Fines (indirect taxation)

Trailer registration tax

Utility Taxes

Vehicle License Registration Tax

Vehicle Sales Tax

Watercraft registration Tax

Well Permit Tax

Workers Compensation Tax

COMMENTS: Not one of these taxes existed 100 years ago and our nation was the most prosperous in the world, had absolutely no national debt, had the largest middle class in the world and Mom stayed home to raise the kids.  What the hell happened?

When you account for all forms of taxation on the federal, state and local levels there are many Americans that pay out more than half of their incomes in taxes.

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Comments

Avatar MADDOG10 -
#1
This is what is going to happen because of all the people that voted for the messiah. Just wait until they have to start paying like the rest of us, and we'll see who complains the loudest...!

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