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The 2021 tax brackets in comparison to 2020 tax brackets increased around 2% due to indexing. The new tax law passed in 2017 maintains the 10% tax rate baseline for earners in the lower spectrum but slashes the high-income tax rates from 39.6% to 37% starting in 2018.
You can find out more about 2020 tax brackets vs 2019 tax brackets, a comparison of tax brackets for 2019 vs 2018, and the difference between 2017 and 2018 tax brackets.
Single tax payers
| 2021 Tax Rate | 2021 Income Bracket | | | 2020 Rate | 2020 Income Bracket |
| 10% | Up to $9,950 | | | 10% | Up to $9,875 |
| 12% | $9,516-$40,525 | | | 12% | $9,876-$40,125 |
| 22% | $40,526-$86,375 | | | 22% | $40,126-$85,525 |
| 24% | $86,376-$164,925 | | | 24% | $85,526-$163,300 |
| 32% | $164,926-$209,425 | | | 32% | $163,301-$207,350 |
| 35% | $209,426-$523,600 | | | 35% | Â $207,351-$518,400 |
| 37% | $523,601+ | | | 37% | $518,401+ |
Married couples filing jointly or Qualifying Widow
| 2021 Tax Rate | 2021 Income Bracket | | | 2020 Rate | 2020 Income Bracket |
| 10% | Up to $19,900 | | | 10% | Up to $19,750 |
| 12% | $19,901-$81,050 | | | 12% | $19,751-$80,250 |
| 22% | $81,051-$172,750 | | | 22% | $80,251-$171,050 |
| 24% | $172,751-$329,850 | | | 24% | $171,051-$326,600 |
| 32% | $329,851-$418,850 | | | 32% | $326,601-$414,700 |
| 35% | $418,851-$628,300 | | | 35% | $414,701-$622,050 |
| 37% | $628,301+ | | | 37% | $622,051+ |
Married couple filing separately
| 2021 Tax Rate | 2021 Income Bracket | | | 2020 Rate | 2020 Income Bracket |
| 10% | Up to $9,950 | | | 10% | Up to $9,875 |
| 12% | $9,951-$40,525 | | | 12% | $9,876-$40,125 |
| 22% | $40,526-$86,375 | | | 22% | $40,126-$85,525 |
| 24% | $86,376-$164,925 | | | 24% | $85,526 – $163,300 |
| 32% | $164,926-$209,425 | | | 32% | $163,301-$207,350 |
| 35% | $209,426-$314,150 | | | 35% | $207,351-$311,025 |
| 37% | $314,151+ | | | 37% | $311,026+ |
Reduce Tax through tax credit and tax deductions. Learn how?
Heads of the household
| 2021 Tax Rate | 2021 Income Bracket | | | 2020 Rate | 2020 Income Bracket |
| 10% | Up to $14,200 | | | 10% | Up to $14,100 |
| 12% | $14,201-$54,200 | | | 12% | Â $14,100-$53,700 |
| 22% | $54,201-$86,350 | | | 22% | $53,700-$85,500 |
| 24% | $86,351-$164,900 | | | 24% | $85,501-$163,300 |
| 32% | $164,901-$209,400 | | | 32% | $163,301-$207,350 |
| 35% | $209,401-$523,600 | | | 35% | $207,350-$518,400 |
| 37% | $526,601+ | | | 37% | $518,401+ |
You can also read about 2018 Tax Reform – Business Interest Deduction, Section 199A – Impact on Small and Pass-through business or 2018 Tax law update for Individuals. Contact us to learn more about our services.
