Tax Reference Guide - 2023 Calendar Year
The information presented below is subject to change. Contact your Worth Tax Advisor to discuss the potential application to your particular situation.
Ordinary Income Tax Rates
| Tax Rate |
Single Filer |
Head of Household |
Married Filling Jointly |
Married Filling Separately |
| 10% |
$0+ |
$0+ |
$0+ |
$0+ |
| 12% |
$11,001+ |
$15,701+ |
$22,001+ |
$11,0001+ |
| 22% |
$44,726+ |
$59,851+ |
$89,451+ |
$44,726+ |
| 24% |
$95,376+ |
$95,351+ |
$190,751+ |
$95,376+ |
| 32% |
$182,101+ |
$182,101+ |
$364,201+ |
$182,101+ |
| 35% |
$231,251+ |
$231,251+ |
$462,501+ |
$231,251+ |
| 37% |
$578,126+ |
$578,100+ |
$693,750+ |
$578,125+
|
Long-Term Capital Gains and Qualified Dividends
| Tax Rate |
Single Filer |
Head of Household |
Married Filling Jointly |
Married Filling Separately |
| 0% |
$0+ |
$0+ |
$0+ |
$0+ |
| 15% |
$44,626+ |
$59,751+ |
$89,251+ |
$44,626+ |
| 20% |
$492,301+ |
$523,051+ |
$553,851+ |
$276,901+ |
General Tax Benefits
| |
Tax Benefit Thresholds |
| Standard deduction |
|
| Single and married filing separately |
$13,850 |
| Head of household |
$20,800 |
| Married filing jointly |
$27,700 |
| Additional deduction for aged or blind |
$1,850 |
| Additional deduction for married aged or blind |
$1,500 |
| Deduction if you can be claimed by another(or $400 plus earned income if greater) |
$1,250 |
| Transportation Fringe Benefit |
|
| Transit |
$300 |
| Parking |
$300 |
| Standard Mileage Rates |
|
| Business |
65.5 cents per mile |
| Charity (not indexed) |
22 cents per mile |
| Medical/moving |
14 cents per mile |
| Kiddie Tax (Unearned Income) |
|
| First $1,250 not taxed |
$0+ |
| Next $1,250 taxed at child’s rate |
$1,250+ |
| Over $2,500 taxed at parent’s rate |
$2,500+ |
| Adoption benefits |
|
| Adoption credit |
$15,950 |
| Employer adoption benefit income exclusion |
- |
| Expatriation |
|
| Average income threshold for determining if subject to tax |
$171,000 |
| Exclusion from tax |
$737,000 |
| Foreign earned income exclusion |
|
| Per person |
$120,000 |
| Retirement accounts |
|
| 401(k)/403(b) deferrals |
$22,500 |
| 401(k)/403(b) catch-up deferral |
$7,500 |
| IRA contribution |
$6,500 |
| IRA catch-up contributions |
$1,000 |
Medicare and Social Security rate change thresholds
| |
Rate Change Thresholds |
| Social Security Wage Cap (earned income) |
|
| Per Individual |
$160,200 |
| Threshold for Additional 0.9% Medicare Tax (earned income) |
|
| Single (not indexed) |
$200,000 |
| Threshold for 3.8% Medicare tax on Investment Income (AGI) |
|
| Single (not indexed) |
$200,000 |
| Joint (not indexed) |
$250,000 |
| Trusts and Estates |
$13,450 |
2023 Filing Deadlines for the 2022 Calendar Year
| |
Original |
Extension |
| Partnerships (Form 1065) |
March 15 |
September 15 |
| S corporations (Form 1120-S) |
March 15 |
September 15 |
| C corporations (Form 1120) |
April 18 |
October 16 |
| Trusts (Form 1041) |
April 18 |
September 30 |
| Individuals (Form 1040) |
April 18 |
October 16 |
Qualified Retirement Plans: 401(k), 403(b) and most 457 Plans
| |
Contribution Limits |
| Maximum employee contribution/deferral |
$22,500 |
| Catch-up employee contribution/deferral (age 50 and older) |
$7,500 |
| Maximum combined employer and employee contributions to a defined contribution plan |
$66,000 |
| Maximum annual benefit in a defined benefit plan |
$245,000 |
Limit on compensation under 401(a)(17) that can be
considered in calculating contributions to qualified plans |
$330,000 |
Limit on compensation under 401(a)(17) for grandfathered
employees for governmental plans under OBRA ’93 |
$490,000 |
Threshold for designation as “highly compensated employee”
for nondiscrimination testing |
$150,000 |
| Definition of key employee in a top-heavy plan |
$215,000 |
Individual Retirement Account (IRA) Contribution Limits
| |
Contribution Limits |
| Traditional and Roth IRA |
$6,500 |
| Traditional and Roth IRA catch-up contribution (age 50 and older) |
$1,500 |
| SIMPLE IRA |
$15,500 |
| SIMPLE IRA catch-up contribution (age 50 and older) |
$3,500 |
| SEP IRA (only employer may contribute)* |
$66,000 |
| Minimum compensation required to participate in SEP |
$750 |
| Maximum compensation for calculating contributions |
$330,000 |
C Corporation Income Tax Brackets (Not Indexed)
| Tax Rate |
| 21% Flat Tax Rate |
