There are seven federal tax brackets for the 2022 tax year: 10%, 12%, 22%, 24%, 32%, 35% and 37%. Every year the IRS revises the tax bracket for inflation. Your specific bracket depends on your taxable income and filing status. These are the rates of taxes due in April 2023.
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marginal tax rate
The marginal tax rate is the highest tax rate you pay for each additional dollar of income you earn. The 25% marginal tax rate means you’ll pay 25 cents for every additional dollar you report on your earnings.
effective tax rate
The effective tax rate is your total tax amount divided by your total earned income.
Single Filers Tax Brackets for 2022
| tax rate | taxable income group | your taxes |
| 10% | $0 to $10,275 | 10% of taxable income |
| 12% | $10,276 to $41,775 | $1,027.50 plus 12% of amounts 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 | 24% of amounts over $15,213.50 and $89,075 |
| 32% | $170,051 to $215,950 | $34,647.50 plus 32% of amounts 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 amounts over $539,900 |
Married filing jointly tax bracket 2022. For
| tax rate | taxable income group | your taxes |
| 10% | $0 to $20,550 | 10% of taxable income |
| 12% | $20,551 to $83,550 | $2,055 plus 12% of amounts 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 | 24% of the amount over $30,427 plus $178,150 |
| 32% | $340,101 to $431,900 | $69,295 and 32% of amounts over $340,100 |
| 35% | $431,901 to $647,850 | $98,671 plus 35% of amounts over $431,900 |
| 37% | $647,851 or more | $174,253.50 plus 37% of amounts over $647,850 |
Married Filing Separately Tax Brackets 2022. For
| tax rate | taxable income group | your taxes |
| 10% | $0 to $10,275 | 10% of taxable income |
| 12% | $10,276 to $41,775 | $1,027.50 plus 12% of amounts 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 | 24% of amounts over $15,213.50 and $89,075 |
| 32% | $170,051 to $215,950 | $34,647.50 plus 32% of amounts 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 amounts over $323,925 |
head of household tax bracket 2022. For
| tax rate | taxable income group | your taxes |
| 10% | $0 to $14,650 | 10% of taxable income |
| 12% | $14,651 to $55,900 | $1,465 plus 12% of amounts over $14,650 |
| 22% | $55,901 to $89,050 | $6,415 plus 22% of amounts 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 amounts over $170,050 |
| 35% | $215,951 to $539,900 | $47,836 plus 35% of amounts over $215,950 |
| 37% | $539,901 or more | $161,218.50 plus 37% of amounts over $539,900 |
2022 standard deduction
The amount of the standard deduction reduces your taxable income. Typically, the IRS adjusts the standard deduction for inflation each year.
When you file your taxes, you have the option of choosing either the standard deduction or the itemized deduction. This only makes sense if the total value of your deductions exceeds the standard deduction.
| filing status | deduction amount |
| Solo | $12,950 |
| Married filing jointly | $25,900 |
| head of household | $19,400 |
long term capital gains tax
You pay capital gains tax on gains from selling capital assets such as stocks, options, bonds, real estate and cryptocurrencies. Long-term capital gains tend to have more favorable tax treatment than your ordinary taxable income. To qualify for a long-term position, you must realize a return on investment after holding it for one calendar year or 365 days. Short-term capital gains are taxable as ordinary income
| more taxable income | |||
| tax rate | Solo | Married filing jointly | head of household |
| 0% | $0 | $0 | $0 |
| 15% | $41,675 | $83,350 | $55,800 |
| 20% | $459,750 | $517,200 | $488,500 |
net investment income tax
A net investment income tax of 3.8% is applicable to all taxpayers whose net investment income exceeds the specified limit. In general, net investment income includes
- long term capital gains
- small capital gains
- Dividend
- taxable interest
- rent and royalty income
- Passive income from investments in which you do not actively participate
- business income from trading in financial instruments or commodities
- Taxable portion of ineligible annuity payments
You will pay between 3.8% of the small value
- Your total net investment income, gold
- Excess of modified adjusted gross income by exceeding the following limits:
- $200,000 for single and head of household filers
- $250,000 for married filing jointly or qualifying widow(er)
- $125,000 for married filing separately
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