Tatyana Bunich CEP.RFC. | Contact us: 410-908-9293 (MD) | 954-892-6020 (FL)
A new tax season is upon us! We’ve summarized income tax rates and details below for you, for the tax year 2021 and filings in 2022. You can compare rates for both tax years 2021 and 2022 to see the rate changes you can expect for next year. We’ll be addressing these carefully with our clients during the tax season this year, starting January – April 2022, and throughout the year.
The Federal IRS deadline this year is Monday, April 18, 2022, or October 2022 with an extension. It’s important to check your state’s deadlines and guidance. We recommend you prepare early! Since your tax situation is unique, please consult a tax professional for advice. Let us assist you in person, on the phone, or via Zoom.
Support for Cryptocurrencies
We also provide tax services for cryptocurrency, including tax obligations for Bitcoin (BTC), Ethereum (ETH), and other coins and tokens, along with DeFi activities. Have questions?
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Tax Brackets for 2021 and 2022 — Single Filers / Married Filing Jointly / Married Filing Separately / Head of Household | Alternative Minimum Tax | Standard Deductions | Top Tax Brackets | Top Capital Gain Tax Rate (20%) Thresholds | Unearned Income Medicare Contribution Tax (Net Investment Income Tax) | Standard Mileage Rates | Qualified Charitable Distributions
Federal Income Tax Brackets
Single Filers 2021
for filing due April 2022
| Tax rate | Taxable income bracket | Tax owed |
|---|---|---|
| 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 |
Single Filers 2022
for filing due April 2023
| Tax rate | Taxable income bracket | Tax owed |
|---|---|---|
| 10% | $0 to $10,275 | 10% of taxable income |
| 12% | $10,276 to $41,775 | $1,027.50 plus 12% of the amount over $10,275 |
| 22% | $41,776 to $89,075 | $4,807.50 plus 22% of the amount over $41,775 |
| 24% | $89,076 to $170,050 | $15,213.50 plus 24% of the amount over $89,075 |
| 32% | $170,051 to $215,950 | $34,647.50 plus 32% of the amount over $170,050 |
| 35% | $215,951 to $539,900 | $49,335.50 plus 35% of the amount over $215,950 |
| 37% | $539,901 or more | $162,718 plus 37% of the amount over $539,900 |
Married, Filing Jointly 2021
for filing due April 2022
| Tax rate | Taxable income bracket | Taxes owed |
|---|---|---|
| 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 Jointly 2022
for filing due April 2023
| Tax rate | Taxable income bracket | Taxes owed |
|---|---|---|
| 10% | $0 to $20,550 | 10% of taxable income |
| 12% | $20,551 to $83,550 | $2,055 plus 12% of the amount over $20,550 |
| 22% | $83,551 to $178,150 | $9,615 plus 22% of the amount over $83,550 |
| 24% | $178,151 to $340,100 | $30,427 plus 24% of the amount over $178,150 |
| 32% | $340,101 to $431,900 | $69,295 plus 32% of the amount over $340,100 |
| 35% | $431,901 to $647,850 | $98,671 plus 35% of the amount over $431,900 |
| 37% | $647,851 or more | $174,253.50 plus 37% of the amount over $647,850 |
Married, Filing Separately 2021
for filing due April 2022
| Tax rate | Taxable income bracket | Taxes owed |
|---|---|---|
| 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 |
Married, Filing Separately 2022
for filing due April 2023
| Tax rate | Taxable income bracket | Taxes owed |
|---|---|---|
| 10% | $0 to $10,275 | 10% of taxable income |
| 12% | $10,276 to $41,775 | $1,027.50 plus 12% of the amount over $10,275 |
| 22% | $41,776 to $89,075 | $4,807.50 plus 22% of the amount over $41,775 |
| 24% | $89,076 to $170,050 | $15,213.50 plus 24% of the amount over $89,075 |
| 32% | $170,051 to $215,950 | $34,647.50 plus 32% of the amount over $170,050 |
| 35% | $215,951 to $323,925 | $49,335.50 plus 35% of the amount over $215,950 |
| 37% | $323,926 or more | $87,126.75 plus 37% of the amount over $323,925 |
Head of Household 2021
for filing due April 2022
| Tax rate | Taxable income bracket | Taxes owed |
|---|---|---|
| 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 |
Head of Household 2022
for filing due April 2023
| Tax rate | Taxable income bracket | Taxes owed |
|---|---|---|
| 10% | $0 to $14,650 | 10% of taxable income |
| 12% | $14,651 to $55,900 | $1,465 plus 12% of the amount over $14,650 |
| 22% | $55,901 to $89,050 | $6,415 plus 22% of the amount over $55,900 |
| 24% | $89,051 to $170,050 | $13,708 plus 24% of the amount over $89,050 |
| 32% | $170,051 to $215,950 | $33,148 plus 32% of the amount over $170,050 |
| 35% | $215,951 to $539,900 | $47,836 plus 35% of the amount over $215,950 |
| 37% | $539,901 or more | $161,218.50 plus 37% of the amount over $539,900 |
Tax Rates for 2021 and 2022
Alternative Minimum Tax (AMT)
| Alternative minimum tax (AMT) | 2021 | 2022 |
|---|---|---|
| Maximum AMT exemption amount | $114,600 (MFJ), $73,600 (Single/HOH), $57,300 (MFS) | $118,100 (MFJ), $75,900 (Single/HOH), $59,050 (MFS) |
| Exemption phaseout threshold | $1,047,200 (MFJ), $523,600 (Single/HOH/MFS) | $1,079,800 (MFJ), $539,900 (Single/HOH/MFS) |
| 26% rate applies to AMT income (AMTI) at or below this amount (28% rate applies to AMTI above this amount) | $199,900 (MFJ/Single/HOH), $99,950 (MFS) | 206,100 (MFJ/Single/HOH), $103,050 (MFS) |
Standard Deductions
| Standard deduction | 2021 | 2022 |
|---|---|---|
| Standard deduction amount | $25,100 (MFJ), $18,800 (HOH), $12,550 (Single), $12,550 (MFS) | $25,900 (MFJ), $19,400 (HOH), $12,950 (Single), $12,950 (MFS) |
| Standard deduction for dependent | Can't exceed the greater of $1,100 or $350 + earned income | Can't exceed the greater of $1,150 or $400 + earned income |
| Additional deduction for aged/blind | $1,700 (Single/HOH), $1,350 (MFJ/MFS) | $1,750 (Single/HOH), $1,400 (MFJ/MFS) |
Top Tax Brackets
| Top tax brackets | 2021 | 2022 |
|---|---|---|
| Single | 37% of taxable income exceeding $523,600 + $157,804.25 | 37% of taxable income exceeding $539,900 + $162,718 |
| MFJ | 37% of taxable income exceeding $628,300 + $168,993.50 | 37% of taxable income exceeding $647,850 + $174,253.50 |
| MFS | 37% of taxable income exceeding $314,150 + $84,496.75 | 37% of taxable income exceeding $323,925 + $87,126.75 |
| HOH | 37% of taxable income exceeding $523,600 + $156,355 | 37% of taxable income exceeding $539,900 + $161,218.50 |
Top Capital Gain Tax Rate (20%) Thresholds
| Top capital gain tax rate (20%) thresholds | 2021 | 2022 |
|---|---|---|
| Single | $445,850 | $459,750 |
| MFJ | $501,600 | $517,200 |
| MFS | $250,800 | $258,600 |
| HOH | $473,750 | $488,500 |
Unearned Income Medicare Contribution Tax (Net Investment Income Tax)
| Unearned income Medicare contribution tax (Net investment income tax) | 2021 | 2022 |
|---|---|---|
| Amount of tax | 3.80% | 3.80% |
| Applies to lesser of (a) net investment income or (b) modified adjusted gross income exceeding: | ||
| Individuals | $200,000 | $200,000 |
| Married filing jointly | $250,000 | $250,000 |
| Married filing separately | $125,000 | $125,000 |
Standard Mileage Rates
| Standard mileage rates | 2021 | 2022 |
|---|---|---|
| Use of auto for business purposes (cents per mile) | $0.56 | $0.585 |
| Use of auto for medical purposes (cents per mile) | $0.16 | $0.18 |
| Use of auto for moving purposes (cents per mile) | $0.16 | $0.18 |
| Use of auto for charitable purposes (cents per mile) | $0.14 | $0.14 |
Qualified Charitable Distributions (QCDs)
Qualified charitable distributions (QCDs) are distributions made directly from an IRA to a qualified charity. Such distributions may be excluded from income and count toward satisfying any required minimum distributions (RMDs) you would otherwise have to receive from your IRA. Individuals age 70½ and older can make up to $100,000 in QCDs per year.
Registered Representative offering securities and advisory services through Independent Financial Group, LLC (IFG), a registered broker-dealer and investment advisor. Member FINRA/SIPC. Financial 1 Wealth Management Group and IFG are unaffiliated entities.