|
Tax Planning
Accounting
Consulting
Technology
Business Valuations
International Tax
About Us
History
Mission Statement
People
Clientele
Testimonials
Fremont Office
Palo Alto Office
Danville Office
San Francisco Office
Contact Us
Reading Room
Business Leadership
Estate Planning
Investment
Real Estate
Taxation
Valuations
Humor
Online Resources
Tax Tools
Tax Rate Guide
Tax Forms
Tax Due Dates
Record Retention
Glossary of Terms
State Links
1040 Tax Estimator
Mortgage Payoff
Mortgage Rent/Buy
Millionaire Calculator
Compound Interest
Company Media
Newsletter
Press Releases
Bookstore
Videos
Hall of Laughter
Careers
Job Openings
Internships
Submit Your Resume
|
 Tax Rate Guide for 2007/2008
Standard Mileage Rates
Corporate Tax Rate Schedule
Individual Tax Rate Schedules
Standard Deductions/Personal Exemptions
Capital Gains and Dividends Taxed as Net Capital Gain
ERISA and Tax Code Pension and Retirement Plan Limits
|
|
2007 |
2008 |
|
Business |
48.5 cents per mile |
50.5 cents per mile |
|
Charitable |
14.0 cents per mile |
19.0 cents per mile |
|
Medical and Moving |
20.0 cents per mile |
14.0 cents per mile |
|
If Taxable Income Is |
The Tax Is: |
|
Not over $50,000 |
15% of the taxable income |
|
Over $50,000 |
but not over $75,000 |
$7,500 plus |
25% of the amount over $50,000 |
|
Over $75,000 |
but not over $100,000 |
$13,750 plus |
34% of the amount over $75,000 |
|
Over $100,000 |
but not over $335,000 |
$22,250 plus |
39% of the amount over $100,000 |
|
Over $335,000 |
but not over $10,000,000 |
$113,900 plus |
34% of the amount over $335,000 |
|
Over $10,000,000 |
but not over $15,000,000 |
$3,400,000 plus |
35% of the amount over $10,000,000 |
|
Over $15,000,000 |
but not over $18,333,333 |
$5,150,000 plus |
38% of the amount over $15,000,000 |
|
Over 18,333,333 |
|
35% of the taxable income |
|
|
Qualified personal service corporations are taxed at a flat rate of 35% of taxable
income |
2007: Married Individuals Filing Joint Returns and Surviving Spouses
Code Section 1(a)
|
If Taxable Income Is: |
The Tax Is: |
|
Not over $15,650 |
10% of the taxable income |
|
Over $15,650 |
but not over $63,700 |
$1,565.00 plus |
15% of the excess over $15,650 |
|
Over $63,700 |
but not over $128,500 |
$8,772.50 plus |
25% of the excess over $63,700 |
|
Over $128,500 |
but not over $195,850 |
$24,972.50 plus |
28% of the excess over $128,500 |
|
Over $195,850 |
but not over $349,700 |
$43,830.50 plus |
35% of the excess over $195,850 |
|
Over $349,700 |
|
$94,601.00 plus |
35% of the excess over $349,700 |
2008: Married Individuals Filing Joint Returns and Surviving Spouses
Code Section 1(a)
|
If Taxable Income Is: |
The Tax Is: |
|
Not over $16,051 |
10% of the taxable income |
|
Over $16,051 |
but not over $65,100 |
$1,605.00 plus |
15% of the excess over $16,050 |
|
Over $65,101 |
but not over $131,450 |
$8,962.50 plus |
25% of the excess over $65,100 |
|
Over $131,451 |
but not over $200,300 |
$25,550.00 plus |
28% of the excess over $131,450 |
|
Over $200,301 |
but not over $357,700 |
$44,828.00 plus |
35% of the excess over $200,300 |
|
Over $357,701 |
|
$96,770.00 plus |
35% of the excess over $357,700 |
2007: Heads of Households
Code Section 1(b)
|
If Taxable Income Is: |
The Tax Is: |
|
Not over $11,200 |
10% of the taxable income |
|
Over $11,200 |
but not over $42,650 |
$1,120.00 plus |
15% of the excess over $11,200 |
|
Over $42,650 |
but not over $110,100 |
$5,837.50 plus |
25% of the excess over $42,650 |
|
Over $110,100 |
but not over $178,350 |
$22,700.00 plus |
28% of the excess over $110,100 |
|
Over $178,350 |
but not over $349,700 |
$41,810.00 plus |
33% of the excess over $178,350 |
|
Over $349,700 |
|
$98,355.50 plus |
35% of the excess over $349,700 |
2008 Heads of Households
Code Section 1(b)
|
If Taxable Income Is: |
The Tax Is: |
|
Not over $11,450 |
10% of the taxable income |
|
Over $11,451 |
but not over $43,650 |
$1,145.00 plus |
15% of the excess over $11,450 |
|
Over $43,651 |
but not over $112,650 |
$5,975.00 plus |
25% of the excess over $43,650 |
|
Over $112,651 |
but not over $182,400 |
$23,225.00 plus |
28% of the excess over $112,650 |
|
Over $182,401 |
but not over $357,700 |
$42,755.00 plus |
33% of the excess over $182,400 |
|
Over $357,701 |
|
$100,605.00 plus |
35% of the excess over $357,700 |
2007 Unmarried Individuals (Other than Surviving Spouses and Heads of Households)
|
If Taxable Income Is: |
The Tax Is: |
|
Not over $7,825 |
10% of the taxable income |
|
Over $7,825 |
but not over $31,850 |
$782.50 plus |
15% of the excess over $7,825 |
|
Over $31,850 |
but not over $77,100 |
$4,386.25 plus |
25% of the excess over $31,850 |
|
Over $77,100 |
but not over $160,850 |
$15,698.75 plus |
28% of the excess over $77,100 |
|
Over $160,850 |
but not over $349,700 |
$39,148.75 plus |
33% of the excess over $160,850 |
|
Over $349,700 |
|
$101,469.25 plus |
35% of the excess over $349,700 |
2008 Unmarried Individuals (Other than Surviving Spouses and Heads of Households)
|
If Taxable Income Is: |
The Tax Is: |
|
Not over $8,025 |
10% of the taxable income |
|
Over $8,026 |
but not over $32,550 |
$802.50 plus |
15% of the excess over $8,025 |
|
Over $32,551 |
but not over $78,850 |
$4,481.25 plus |
25% of the excess over $32,550 |
|
Over $78,851 |
but not over $164,550 |
$16,056.25 plus |
28% of the excess over $78,850 |
|
Over $164,551 |
but not over $357,700 |
$40,052.25 plus |
33% of the excess over $164,550 |
|
Over $357,701 |
|
$103,791.75 plus |
35% of the excess over $357,700 |
2007 Married Individuals Filing Separate Returns
|
If Taxable Income Is: |
The Tax Is: |
|
Not over $7,825 |
10% of the taxable income |
|
Over $7,825 |
but not over $31,850 |
$782.50 plus |
15% of the excess over $7,825 |
|
Over $31,850 |
but not over $64,250 |
$4,386.25 plus |
25% of the excess over $31,850 |
|
Over $64,250 |
but not over $97,925 |
$12,486.25 plus |
28% of the excess over $64,250 |
|
Over $97,925 |
but not over $174,850 |
$21,915.25 plus |
33% of the excess over $97,925 |
|
Over $174,850 |
|
$47,300.50 plus |
35% of the excess over $174,850 |
2008 Married Individuals Filing Separate Returns
|
If Taxable Income Is: |
The Tax Is: |
|
Not over $8,025 |
10% of the taxable income |
|
Over $8,025 |
but not over $32,550 |
$802.50 plus |
15% of the excess over $8,025 |
|
Over $32,551 |
but not over $65,725 |
$4,481.25 plus |
25% of the excess over $32,550 |
|
Over $65,726 |
but not over $100,150 |
$12,775.00 plus |
28% of the excess over $65,725 |
|
Over $100,151 |
but not over $178,850 |
$22,414.00 plus |
33% of the excess over $100,150 |
|
Over $178,851 |
|
$48,385.00 plus |
35% of the excess over $178,850 |
Standard Deduction Tables
|
|
2007 |
2008 |
|
Married Filing Jointly and Surviving Spouses |
$10,700 |
$10,900 |
|
Heads of Households |
$7,850 |
$8,000 |
|
Single |
$5,350 |
$5,450 |
|
Married Filing Separate |
$5,350 |
$5,450 |
|
Additional amount for Aged and Blind |
$1,050 for each |
$1,050 for each |
Additional amount for Aged and Blind
if unmarried and not a surviving spouse |
$1,300 for each |
$1,350 for each |
Personal Exemptions and Phaseout Amounts
|
|
2006 |
2008 |
|
Personal Exemption Amount |
$3,400 |
$3,500 |
|
Code section 151(d)(3) phaseout of the tax benefit of the personal exemptions is
calculated by reducing the total amount of the personal exemptions by 2 percent
for each $2,500 increment (or portion thereof) of adjusted gross income in excess
of a threshold phaseout amount adjusted for inflation. These amounts are as follows: |
|
|
Tax years beginning in
2007 |
Tax years beginning in
2008 |
|
Type of Taxpayer |
Phaseout
Begins: |
Maximum Phaseout: |
Phaseout
Begins: |
Maximum Phaseout: |
Married and Individuals Filing Joint Returns
And Surviving Spouses
Code Section 1(a) |
$234,600 |
$357,100 |
$239,950 |
$362,450 |
Heads of Households
Code Section 1(b) |
$195,500 |
$318,000 |
$199,950 |
$322,450 |
Unmarried Individuals
(Other Than Surviving Spouses and Heads of Households)
Code Section 1(c) |
$156,400 |
$278,900 |
$159,950 |
$282,450 |
Married Individuals Filing Separate Returns
Code Section 1(d) |
$117,300 |
$178,550 |
$119,975 |
$181,225 |
Capital Gains
|
|
2005-10 |
|
2011 |
Rate for Non-corporate Taxpayers
above 15% income tax bracket |
15% |
|
20% |
|
|
2005-07 |
2008-10 |
2011 |
Rate for Non-corporate Taxpayers
in 10% or 15% tax bracket |
5% |
0% |
10% |
Dividends Taxed as Net Capital Gain
|
|
2005-10 |
|
2009 |
Rate for Non-corporate Taxpayers
above 15% income tax bracket |
15% |
|
* |
|
|
2005-07 |
2008-10 |
2011 |
Rate for Non-corporate Taxpayers
in 10% of 15% tax bracket |
5% |
0% |
* |
* After 2010, dividends will be taxed as ordinary income.
2007 Estates and Trusts Tax Rate Schedules
Code Section 1(e)
|
If Taxable Income Is: |
The Tax Is: |
|
Not over $2,150 |
15% of the taxable income |
|
Over $2,150 |
but not over $5,000 |
$322.50 plus |
25% of the excess over $2,150 |
|
Over $5,000 |
but not over $7,650 |
$1,035.00 plus |
28% of the excess over $5,000 |
|
Over $7,650 |
but not over $10,450 |
$1,777.00 plus |
33% of the excess over $7,650 |
|
Over $10,450 |
|
$2,701.00 plus |
35% of the excess over $10,050 |
Code Section 1(e)
|
If Taxable Income Is: |
The Tax Is: |
|
Not over $2,200 |
15% of the taxable income |
|
Over $2,200 |
but not over $5,150 |
$330.00 plus |
25% of the excess over $2,200 |
|
Over $5,150 |
but not over $7,850 |
$1,067.50 plus |
28% of the excess over $5,150 |
|
Over $7,850 |
but not over $10,700 |
$1,823.50 plus |
33% of the excess over $7,850 |
|
Over $10,700 |
|
$2,764.00 plus |
35% of the excess over $10,700 |
Note: In 2006, the top rate is reduced to 46% and in 2007-2009 to 45%
In 2010, the estate tax is repealed and the top gift tax rate is reduced to 35%.
Note that gifts and estates are not taxed in the lower brackets because of the use
of the "applicable exclusion amount."
Applicable Exclusion Amount for Estate Tax
|
Year of Transfer |
Applicable Exclusion Amount |
|
2006/2007/2008 |
$2,000,000 |
|
2009 |
$3,500,000 |
Applicable Exclusion Amount for Gift Tax
|
Year of Transfer |
Applicable Exclusion Amount |
|
2002-2009 |
$1,000,000 |
Gift Tax Annual Exclusion
|
Year of Transfer |
Applicable Exclusion Amount |
|
2002-2005 |
$11,000 |
|
2006 |
$12,000 |
From 1982 - 2001, the annual gift tax exclusion was $10,000.
|
|
2007 |
2008 |
|
Deferral Limits for Plans |
|
|
|
401(k) |
15,500 |
15,500 |
|
SIMPLE |
10,500 |
10,500 |
|
403(b) |
15,500 |
15,500 |
|
457 |
15,500 |
15,500 |
|
Catch-Up Contributions for Participants Age 50 or Older |
|
|
|
401(k) Plans |
5,000 |
5,000 |
|
SIMPLE |
2,500 |
2,500 |
|
Qualified Plans - Annual Compensation Limit |
225,000 |
230,000 |
|
Defined Benefit Maximum Annual Benefit |
180,000 |
185,000 |
|
Defined Contribution - Maximum Annual Addition |
45,000 |
46,000 |
|
"Key Employee" in Top-Heavy Plan |
145,000 |
150,000 |
To Determine Maximum Account Balance in ESOP
Subject to 5-Year Distribution Period |
915,000 |
935,000 |
|
"Highly Compensated Employee" Threshold |
100,000 |
105,000 |
|
SEP Compensation Threshold for Participation |
500 |
500 |
|
Definition of "Control Employee" for Fringe Benefit Valuation |
|
|
|
Regs. 1.61-21(f)(5)(i) |
90,000 |
90,000 |
|
Regs. 1.61-21(f)(5)(iii) |
180,000 |
185,000 |
|
Subscribe to the best newsletter in the US!
Email:
 
More Videos Here
|