Going into 2011, it was thought that the federal income tax brackets and marginal tax rates were going to change drastically because of the Bush-era tax cuts expiring.
However, they were extended for another two years, so the tax brackets and marginal rates aren’t going to change very much going from 2010 to 2011.
Here we’re going to take a look at each of the Federal Income Tax brackets and marginal tax rates for both single taxpayers and married couples filing jointly, and take a look at what is changing going into 2011.
The lowest marginal tax rate is the 10% bracket.
The range of income covered by this bracket in 2010 was $0 to $8,375, but going into 2011, the upper limit is changed to $8,500. Similarly, the married couples filing jointly will see a raise from $0-$16,750 to $0-$17,000. These aren’t very big changes, and won’t change tax amounts for many people by a large amount at all.