Tax Cut and Jobs Act (TCJA) | Lower Individual Tax Rates | Lexington, KY Tax Attorney

(Mostly) Lower Individual Income Tax Rates and Brackets

This is one of the main provisions in the new Tax Cut and Jobs Act (TCJA) that could particularly affect retirees and persons with disabilities. There are still seven individual tax brackets and rates, but most are lower. Current rates are 10%, 15%, 25%, 28%, 33%, 35% and 39.6%. Here are the new rates and how much income will apply to each:

Rate

Individuals

 Married, filing jointly
10%

Up to $9,525

 Up to $19,050
12%

$9,526 to $38,700

 $19,051 to $77,400
22%

$38,701 to $82,500

 $77,401 to $165,000
24%

$82,501 to $157,500

 $165,001 to $315,000
32%

$157,501 to $200,000

 $315,001 to $400,000
35%

$200,001 to $500,000

 $400,001 to $600,000
37%

$500,001 and over

 $600,001 and over

If you would like more information about the Tax Cut and Jobs Act (TCJA), please review our main informational page here. If you have questions about how the lower individual tax rate affects your tax situation, please call Gayheart & Campbell today at 859-276-6193 or submit a consultation request here.