2018 Income Tax Brackets

Income tax brackets

The number of tax brackets is unchanged, but almost all of the tax rates have been reduced, with the highest rate at 37 percent.

In 2017 there were seven taxable income brackets, beginning with the 10 percent rate and going up to a top marginal rate of 39.6 percent. The total number of brackets remains the same, but the tax rates were changed. The initial rate remains 10 percent but the other rates were reduced and go up to a top marginal rate of 37 percent. The tax brackets and income thresholds are summarized below.

 

2017 Tax Rates

 

2018 Tax Rates

 

Estates and Trusts

For estates and trusts, the number of tax brackets decreased, and all 2018 rates have been reduced.