Indexed Tax Tables for 2020
The federal tables below include the values applicable when determining federal taxes for 2020. They are published in Revenue Procedure 2019-44.
Federal Income Tax Schedules
Schedule X: Single Individuals
| Taxable Income* | Tax | % on Excess |
|---|---|---|
| $0 | $0 | 10 |
| 9,875 | 987.5 | 12 |
| 40,125 | 4,617.50 | 22 |
| 85,525 | 14,605.50 | 24 |
| 163,300 | 33,271.50 | 32 |
| 20,7350 | 47,367.50 | 35 |
| 518,400 | 156,235 | 37 |
* Taxable income is equal to gross income minus deductions.
Example: Joan Smith, a single individual, has gross income of $102,000 in 2020. She has no dependents and claims a standard deduction because she lacks sufficient itemized deductions. Her taxable income is $89,600: $102,000 - $12,400 standard deduction. Her tax is $15,583.50: $14,605.50 + .24 x ($89,600 - $85,525).
Schedule Y-1: Married Filing Jointly and Surviving Spouses
| Taxable Income* | Tax | % on Excess |
|---|---|---|
| $0 | $0 | 10 |
| 19,750 | 1,975 | 12 |
| 80,250 | 9,235 | 22 |
| 171,050 | 29,211 | 24 |
| 326,600 | 66,543 | 32 |
| 414,700 | 94,735 | 35 |
| 622,050 | 167,307.50 | 37 |
* Taxable income is equal to gross income minus deductions.
Example: John and Joan Smith, a married couple who file jointly, have gross income of $200,000 in 2020. They claim a standard deduction because they lack sufficient itemized deductions. Their taxable income is $175,200: $200,000 - $24,800 standard deduction. Their tax is $7,010.64: $29,211 + .24 x ($175,200 - $171,050).
Schedule Y-2: Married Individuals Filing Separately
| Taxable Income* | Tax | % on Excess |
|---|---|---|
| $0 | $0 | 10 |
| 9,875 | 987.5 | 12 |
| 40,125 | 4617.50 | 22 |
| 85,525 | 14,605.50 | 24 |
| 163,300 | 33,271.50 | 32 |
| 207,350 | 47,367.50 | 35 |
| 311,025 | 83,653.75 | 37 |
* Taxable income is equal to gross income minus deductions.
Example: Joan Smith, a single individual, has gross income of $102,000 in 2020. She has no dependents and claims a standard deduction because she lacks sufficient itemized deductions. Her taxable income is $89,600: $102,000 - $12,400 standard deduction. Her tax is $15,583.50: $14,605.50 + .24 x ($89,600 - $85,525).
Schedule Z: Heads of Households
| Taxable Income* | Tax | % on Excess |
|---|---|---|
| $0 | $0 | 10 |
| 14,100 | 1,410 | 12 |
| 53,700 | 6,162 | 22 |
| 85,500 | 13,158 | 24 |
| 163,300 | 31,830 | 32 |
| 207,350 | 45,926 | 35 |
| 518,400 | 154,793.50 | 37 |
* Taxable income is equal to gross income minus deductions.
Example: Joan Smith, who files as a head of household, has gross income of $102,000 in 2020. She has one dependent child and claims a standard deduction because she lacks sufficient itemized deductions. Her taxable income is $83,350: $102,000 - $18,650 standard deduction. Her tax is $10,685: $6,162 + .22 x ($83,350 - $53,700) - $2,000. The child tax credit of $2,000 reduces her income tax by $2,000.
Federal Income Tax Table: Estates and Trusts
| Taxable Income* | Tax | % on Excess |
|---|---|---|
| 0 | $0 | 10 |
| 2,600 | 260 | 24 |
| 9,450 | 1,904 | 35 |
| 12,950 | 3,129 | 37 |
* Taxable income is equal to gross income minus deductions.
Federal Income Tax Table: Estates and Trusts
January 1, 2020 - December 31, 2020
| Seller Had Owned the Asset for 1 Year or More | Taxpayer Filing Status | |||
|---|---|---|---|---|
| Single | Married Filing Jointly | Head of Household | Married Filing Separately | |
| 0% rate | <$40,000 | <$80,000 | <$53,600 | <$40,000 |
| 15% rate | $40,000-$441,450 | $80,000-$496,600 | $53,600 -$469,050 | $40,000-$248,300 |
| 20% rate (a) | >$441,450 | >$496,600 | >$469,050 | >$248,300 |
| Seller Had Owned the Asset for Less than 1 Year | Seller pays same tax rate as on earned income. | |||
Note: The rate is 28% for long-term gains from sales of art works and other collectibles.
(a) Tax on capital gain will include the 3.8% net investment income tax when the seller’s MAGI exceeds the applicable threshold. This tax is likely to apply to sellers in the 20% capital gain tax bracket, which would increase their effective rate to 23.8%.
Standard Deduction
| Married filing jointly and surviving spouses | Married filing separately | Head of household | Single |
|---|---|---|---|
| $24,800 | $12,400 | $18,650 | $12,400 |
Single filers age 65 or older may increase their standard deduction by $1,650 and married filing jointly filers may increase their standard deduction by $1,300 for each spouse age 65 or older. The same increases are available for filers who are legally blind.
Unified Gift and Estate Tax Credit
| Amount of Credit | Amount of Exemption Equivalent |
|---|---|
| 4,577,800 | 11,580,000 |
Annual Gift Tax Exclusion
The federal annual gift tax exclusion equals $10,000 per person, indexed from 1998 and rounded down to the nearest $1,000. For 2020, the annual gift tax exclusion is $15,000.
Generation Skipping Tax Lifetime Exemption
The generation skipping tax lifetime exemption for 2020 is $11,580,000.
