4. Taxes paid for a given income level
Dmitri is getting ready to do his taxes. He is single and lives in New York City. Dmitri earned $200,000 in 2020. He reviews the following table, which shows the IRS tax rates for a single taxpayer in 2020.
On Annual Taxable Income... The Tax Rate Is... (Percent)
Up to $9,875 10
From $9,875 to $40,125 12
From $40,125 to $85,525 17
From $85,525 to $163,300 20
From $163,300 to $207,500 23
From $207,500 to $518,400 30