Business, Legal & Accounting Glossary
A tax table is a set of columns and rows that cross-reference the amount of taxable incoincome tax a taxpayer owes based on income and marital status. Tax amounts on a tax table may be displayed as a discreet number, a percentage, or both. The progressive nature of the U.S. income tax<tax system is reflected on a tax table by the increased percentage of income a person must pay after their income rises above a specified threshold. The top tax bracket encompassed on a tax table has varied over time. Since 1913, the top tax bracket on the IRS tax table has varied from a high of 94% (before statutory limitation) from 1944-1945 to a low of 7% from 1913-1915. Apart from income, a tax table might also be used to calculate taxes on capital gains. Companies and individuals who use a tax table with their federal and state returns need to make sure their table is for the correct tax year and correct state, because every tax table varies from year to year and from state to state. Taxpaying entities of modest means are more likely to use a tax table than high earners, who tend to use a detailed tax rate schedule in conjunction with their itemized deductions.
To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.
Definitions for Tax Table are sourced/syndicated and enhanced from:
This glossary post was last updated: 5th February, 2020