Starting a Small Business

Tax terms: Marginal Tax Rate (Tax Bracket)

by
Delia Mena
on
4/16/2015
Tax terms: Marginal Tax Rate (Tax Bracket)

The term "marginal tax rate," which is used interchangeably with the term "tax bracket," refers to the percentage at which a taxpayer's income is taxed. This number is dependent upon both the filing status and the taxable income, and not all income is taxed at the same percentage. The income that is equal to the amount the taxpayer is able to claim as an exemption or exemption is not subject to tax, and income earned beyond those exemptions is taxed in specific increments, with the tax rate increasing as income rises. Identifying the correct tax bracket is important, as the percentage that is owe in taxes on income is the percentage that is used to calculate tax savings on specialized tax deductions, as well as on additional income. The marginal tax brackets are easily identified by using a simple tax bracket table.

For more information about this term or any other accounting terminology, feel free to contact Tampa Tax Accounting pro Delia Mena.

share this post
Search for matches...
Delia Mena

Delia Mena

Delia Mena, CPA is a Tampa based tax professional who specializes in accounting and tax preparation. Delia is the founder of her own tax based practice, Delia's Accounting Service, based in Tampa, FL. With over 12 years of experience, Delia's practice is fully equipped to assist clients with any of their financial needs. Delia's Accounting Service provides the perfect mix of independent paralegal's, bookkeepers, and notary public professionals providing high quality services to a wide range of clients. To learn more about Delia and her practice, visit her website.

DELIA'S ACCOUNTING SERVICE
2 reviews

Florida

Recommended Professionals

In the face of economic uncertainty, TaxBuzz is the industry's most up-to-date tax information.

Join 60,000 who get our weekly newsletter. No spam.

We know tax and accounting issues are complicated.

Do you have additional questions on this topic for this author?

Related Posts

Latest Posts