Taxes 

This interactive federal tax calculator is an easy tool that you can use to figure out your federal tax on your taxable income.

Enter your taxable income in the highlighted field bellow and click the button to see how much taxes you have to pay on your income.

Understanding the concept of the marginal and average tax rate is beneficial to single individuals as well as to couples.

Individuals can benefit especially from tax-year optimization. Making a decision about a sale of mutual fund investments or taking a lump sum from your pension plan this or next year can make a difference in how much taxes you pay.

The Alternative Minimum Tax (AMT) concept was designed to hit the wealthy individuals who often have the resources and are trying to avoid paying taxes. In layman terms, the alternative minimum tax (AMT) was designed to keep the rich from living tax-free.

How to tax the economic stimulus rebate check that you received last year? The deadline for tax returns is approaching, and if you need to know how to tax or how to pay taxes on the economic stimulus rebate check that you received last year, you can find the answer to your question below.

2010 federal tax rates provided on this page are applicable to income earned in 2010. You can use these 2010 federal tax rates and federal tax tables 2010 provided below to calculate your taxes that you report on your tax return due in April 2011. These 2010 federal tax rates apply to taxable ordinary income. This page is being prepared and will be available in mid 2010.

This page provides an overview of definitions of basic tax terms and concepts. The tax world can be very confusing, and it certainly helps to have at least the basic definitions on one page. You are welcome to use the definitions below for reference purposes, but we advise you to always consult official IRS documentation and sources or your personal tax advisor before making decisions regarding your situation.

What is the difference between a marginal and average tax rate? Even though it may not be so obvious, understanding the difference between a marginal and average tax rate can help lower your total taxes.

Federal tax rates 2009 - This page provides tax rates applicable to income earned in 2009 and taxed on your tax return filed in 2010. These tax rates apply to taxable ordinary income. In case you are looking for tax rates related to your 2008 earnings that you report on your April 2009 tax return, then go to our Tax rates schedule 2008 page.

Below you can find 2007 tax rates. These rates apply to taxable ordinary income earned in year 2007, and are effective for the tax return that you file in 2008.

You can see that tax rates progressively increase as income increases.

Tax brackets were changed for the tax year 2008 to reflect the rate of inflation in the US economy. When comparing the tax rate schedule for 2007 and 2008, we can see that only the tax brackets have changed. The tax rates themselves remained the same.