So you think Obama is going to win the elections and get elected for the 2nd term. What does that mean for taxes? Are they going to go up or down and then there is whole another topic about deductions and tax credits?
President Obama wants to keep the 10% to 28% tax rate with no change. He also wants to bump the top two rates to 36% and 39.65. At the same time, Republicans want to keep all the Bush Tax rates as is.
It is quite obvious that rate rates will change and it is hard to predict the change with so much uncertainty. But here is our best guess.
These rates in the table below are for a married couple filing jointly.
|Taxable Income||2012 Tax Rates||2013 tax rates if Bush tax cuts aren’t extended||Obama’s proposed 2013 tax rates|
|up to $17,400||10%||15%||10%|
|$17,401 to $70,700||15%||15%||15%|
|$70,701 to $142,700||25%||28%||25%|
|$142,701 to 217,450||28%||31%||28%|
|$217,451 to $250,000||33%||36%||35%|
|$250,001 to $388,350||33%||36%||39.6%|
|$388,351 or more||35%||39.6%|