Income Tax Calculator USA
Estimate Your 2023-2024 Federal Income Tax
Calculate your tax refund or amount owed based on your filing status, income, deductions, and credits
Basic Information
Deductions & Credits
Tax Results
Tax Credits
Total Tax Owed
$8,239
Tax Refund
$1,761
Effective Tax Rate
11.0%
Marginal Tax Rate
22%
Your Tax Breakdown
| Tax Bracket | Rate | Amount Taxed | Tax |
|---|
Understanding Income Tax
Income tax is a tax imposed by the federal government on individuals and entities based on their income. The US uses a progressive tax system, meaning higher income earners pay a higher percentage of their income in taxes.
2023-2024 Tax Brackets
The US has seven federal tax brackets: 10%, 12%, 22%, 24%, 32%, 35%, and 37%. Your bracket depends on your taxable income and filing status. It’s important to note that being in a higher tax bracket doesn’t mean all your income is taxed at that rate—only the portion that falls within that bracket.
Standard Deduction Amounts
- 2023: Single – $13,850, Married Joint – $27,700, Head of Household – $20,800
- 2024: Single – $14,600, Married Joint – $29,200, Head of Household – $21,900
Key Tax Terms
- Taxable Income: Your total income minus deductions and exemptions
- Standard Deduction: A fixed dollar amount that reduces your taxable income
- Itemized Deductions: Specific expenses you can deduct instead of taking the standard deduction
- Tax Credits: Dollar-for-dollar reductions in your actual tax bill
- Marginal Tax Rate: The tax rate on your last dollar of income
- Effective Tax Rate: The average rate at which your income is taxed
Common Tax Deductions & Credits
- Mortgage interest deduction
- State and local taxes (SALT) deduction
- Charitable contributions
- Child Tax Credit
- Earned Income Tax Credit (EITC)
- Education credits
- Retirement account contributions
Frequently Asked Questions
What’s the difference between a tax deduction and a tax credit?
A tax deduction reduces your taxable income, while a tax credit directly reduces your tax bill dollar-for-dollar. For example, a $1,000 deduction might save you $220 if you’re in the 22% tax bracket, but a $1,000 credit saves you $1,000 regardless of your tax bracket.
Should I take the standard deduction or itemize?
You should choose the method that gives you the larger deduction. For most taxpayers, the standard deduction provides the greater tax benefit. However, if your itemized deductions (mortgage interest, state and local taxes, charitable contributions, etc.) exceed the standard deduction amount, you should itemize.
When is the tax filing deadline?
The federal income tax filing deadline is typically April 15 of each year. If April 15 falls on a weekend or holiday, the deadline is extended to the next business day. Taxpayers can request an extension until October 15, but any taxes owed are still due by the original April deadline.
What should I do if I can’t pay my tax bill?
If you can’t pay your full tax bill, you should still file your return on time to avoid failure-to-file penalties. The IRS offers payment plans and temporary collection delays for taxpayers who qualify. You may also consider using a credit card or loan to pay the tax bill, though you should compare interest rates and fees.