Tax rates increase as your income increases. The tax rates apply only to the income in each tax bracket range. Also, the tax rates apply only to your taxable income. There are various adjustments and deductions that all lower a person’s taxable income. Taxable income is almost always less than your total income. The new state income tax rates can change, so you will want to keep posted on those rates.
Tax Brackets for Single Filing Status:
Tax brackets for Married filing jointly:
Individuals can use the tax rate schedules in a number of ways to help plan their finances. You can use these tax rates to figure out how much tax you will pay on extra income you earn. For a taxpayer in the 25% tax bracket, extra income will be taxed at that rate until the taxpayer reaches the next tax bracket.
By answering a few basic questions TurboTax Online can calculate the tax you will be liable for based on your income level. Visit TurboTax Online today to calculate your tax liability for your state tax return. Learn more about New State Income Tax Rates.