In the United States of America, the main personal income tax is the Federal Income Tax. In addition to it, there is also a regional tax, the amount of which is determined individually by the authorities of each state (the exact figures for the states are given at the end of the note).
Federal income tax in America has a progressive scale and ranges from 10 to 37 percent . So the more you earn, the more you pay into the US Treasury.
US income tax 2023
Such rates that apply to US income tax are commonly referred to as “marginal” , since the interest is not calculated on the income received as a whole, but directly on the difference in the indicated range.
So, for example, your income for the year was 50,000 US dollars. From the first $9,700 you will pay 10% as expected, from the second $29,775 you will be charged 12 percent, and from the remaining $10,525 — 22%.
Here is the full scale:
As we wrote above, the federal income tax must be added to the regional income tax, which depends on the state of residence of the taxpayer.
US income tax by state for 2020
