2011 Tax Rate Schedule

The Tax Relief Act 2010 has provisioned to temporarily extend the tax rate structure for an additional two years. Therefore, the 2011 tax rate schedule and the tax rates in it is the same as those in 2010. The 2011 tax rate schedule has currently six rates in it which range between 10 percent and 35 percent. Whatever tax rates changes there is will be effective in 2013. Thus, when the temporary extension ends in 2013, the 2011 tax rate schedule will have significant changes. For example, from being 10 percent, the tax rate will become 15 percent, while the 35 percent will be 39.6 percent. The other tax rates will have an increase of 3 percent each in 2013. These tax rates apply to your income tax return and are different from the tax rates that will apply to capital gain income. For a more detailed instruction regarding the calculation of these tax rates, there is a lot of information on the internet about it.