2022-2023 Federal Income Tax Brackets

Tax Rates and Income Brackets for Tax Years 2022 and 2023 by Filing Status

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Updated on November 1, 2022

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The U.S. government imposes an income tax by using marginal tax rates and brackets. An individual's tax liability gradually increases as their income increases. A different tax rate applies to different brackets of income.

There are seven marginal tax rates that apply to seven brackets of income. The income ranges that these rates apply to adjust every year to take inflation into account. Here are the tax rates and federal income brackets for tax years 2022 and 2023.

Key Takeaways

There are seven tax rates that apply to seven brackets of income: 10%, 12%, 22%, 24%, 32%, 35%, and 37%.
For tax year 2022, the lowest 10% rate applies to an individual's income of $10,275 or less, while the highest 37% rate applies to an individual's income of $539,900 or more.
Income brackets adjust every year to account for inflation. The Internal Revenue Service (IRS) usually released this information in the fall.
If your deductions allow, you may not owe any income taxes.

Federal Income Tax Brackets for Tax Year 2022 (Filed in 2023)

In the table below, you can find the tax rate and the income brackets for three different filing statuses. The tax rate only applies to the income you earn within that bracket.

For example, if you're a single filer and your taxable income is $40,000 for tax year 2022, you'd pay 10% tax on the first $10,275, and then 12% tax on the difference of $40,000 and $10,275 ($29,725). Your tax bill would be $4,594.50 for tax year 2022. This is a simple example, so work with a tax professional or reputable tax company to figure out your annual income tax bill.

2022 Tax Rate	For Single Filers	For Married Individuals Filing Joint Returns	For Heads of Households
10%	$0 to $10,275	$0 to $20,550	$0 to $14,650
12%	$10,275 to $41,775	$20,550 to $83,550	$14,650 to $55,900
22%	$41,775 to $89,075	$83,550 to $178,150	$55,900 to $89,050
24%	$89,075 to $170,050	$178,150 to $340,100	$89,050 to $170,050
32%	$170,050 to $215,950	$340,100 to $431,900	$170,050 to $215,950
35%	$215,950 to $539,900	$431,900 to $647,850	$215,950 to $539,900
37%	$539,900 or more	$647,850 or more	$539,900 or more

Federal Income Tax Brackets for Tax Year 2023 (Filed in 2024)

2023 Tax Rate	For Single Filers	For Married Individuals Filing Joint Returns	For Heads of Households
10%	Up to $11,000	Up to $22,000	Up to $15,700
12%	$11,001 to $44,725	$22,001 to $89,450	$15,701 to $59,850
22%	$44,726 to $95,375	$89,451 to $190,750	$59,851 to $95,350
24%	$95,376 to $182,100	$190,751 to $364,200	$95,351 to $182,100
32%	$182,101 to $231,250	$364,201 to $462,500	$182,101 to $231,250
35%	$231,251 to $578,125	$462,501 to $639,750	$231,251 to $578,100
37%	$578,126 or more	$639,751 or more	$578,101 or more

These tax rates are in effect for income earned from Jan. 1, 2023, through Dec. 31, 2023.

Marginal Tax Rates and Income Brackets

Tax rates are defined by year and by filing status. Ordinary income tax rates apply to most kinds of income, and they're distinguished from the capital gains tax rate that's imposed on long-term gains and qualified dividends. Your marginal tax rate is the highest tax rate imposed on your income. Marginal tax brackets refer to the tax imposed on the next dollar earned.

This is a useful concept for tax planning because it enables people to analyze the tax impact of additional income or deductions.

The 'Hidden' 0% Tax Rate

Every taxpayer is entitled to claim a standard deduction or to itemize their deductions. These deductions effectively constitute a 0% tax rate in the sense that there's no tax imposed on income represented by these deductions. You can deduct income and expenses from your gross income to arrive at your taxable income.

For example, if your gross income is $100,000, but you deduct $10,000 in expenses, your taxable income is now $90,000, and that puts you into a lower tax bracket, which helps save you money on your tax bill. You pay $0 in taxes (so a 0% tax rate) on that $10,000 in deductions.

Progressive Tax Rates and Income Brackets

U.S. tax rates are referred to as "progressive," because the tax rate that applies increases incrementally as an individual's income increases. For example, someone with $1 million in income would have their income taxed at every tax bracket. Someone with $5,000 in income after deductions would be taxed only at the 10% bracket.

Note

Progressive tax rates are different from a flat tax, where one tax rate applies to all income, and from regressive tax rates, in which tax rates decrease as income increases.

Frequently Asked Questions (FAQs)

What is the difference between a marginal tax rate and an average tax rate?

An individual's average rate, which is referred to as the "effective tax rate," is their overall federal tax liability, divided by their total income. So if your tax bill was $4,594.50 and your taxable income was $40,000, your effective tax rate would be 11.5%. Your marginal tax rate is the rate you pay on your top dollar of income. So for a taxable income of $40,000, the marginal tax rate is 12%.

Do the percentages of the federal tax rates ever change?

The percentages of the federal tax rates can change, depending on the tax policy set by the president and government. For example, the tax rates changed under President Donald Trump in 2018.

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Sources

The Balance uses only high-quality sources, including peer-reviewed studies, to support the facts within our articles. Read our editorial process to learn more about how we fact-check and keep our content accurate, reliable, and trustworthy.

IRS. "IRS Provides Tax Inflation Adjustments for Tax Year 2022."
IRS. “IRS Provides Tax Inflation Adjustments for Tax Year 2023.”
Congressional Budget Office. "Increase Individual Income Tax Rates."