The federal tax brackets refer to the distinct ranges of annual income taxed at different rates by the Internal Revenue Service. The income requirements of each bracket differ depending on the filing status of the taxpayer, as described at Forbes.com.Continue Reading
For the 2014 tax year, there are seven federal brackets for individual taxpayers, according to information available from Forbes. Taxpayers in the lowest tax bracket -those earning $9,075 or less- owe the federal government 10 percent of their taxable income. In the highest bracket -consisting of individuals that earned more than $406,750- the tax is $118,118.75 plus 39.6 percent of earnings beyond $406,750.
Individuals with 2014 earnings above $9,075, $36,900, $89,350, $186,350 and $405,100 are taxed a flat rate, plus an additional percentage on earnings over the benchmark.Learn more about Income Tax