2012 Tax Rates Note: IRS Tax Tables must be used for taxable income less than $100,000.           IF YOUR FILING STATUS IS SINGLE Taxable Income Tax Computation Over But not over Marginal Rate The tax is $0 $8,700 10% 10% of taxable income $8,700 $35,350 15% $870 + 15% of  excess over $8,700 $35,350 $85,650 25% $4,868 + 25% of excess over $35,350 $85,650 $178,650 28% $17,443 + 28% of excess over $85,650 $178,650 $388,350 33% $43,483 + 33% of excess over $178,650 $388,350 and over 35% $112,684 + 35% of excess over $388,350   IF YOUR FILING STATUS IS MARRIED FILING JOINTLY Taxable Income Tax Computation Over But not over Marginal Rate The tax is $0 $17,400 10% 10% of taxable income $17,400 $70,700 15% $1,740 + 15% of excess over $17,400 $70,700 $142,700 25% $9,735 + 25% of excess over $70,700 $142,700 $217,450 28% $27,735 + 28% of excess over $142,700 $217,450 $388,350 33% $48,665 + 33% of excess over $217,450 $388,350 and over 35% $105,062 + 35% of excess over $388,350     IF YOUR FILING STATUS IS HEAD OF HOUSEHOLD Taxable Income Tax Computation Over But not over Marginal Rate The tax is $0 $12,400 10% 10% of taxable income $12,400 $47,350 15% $1,240 + 15% of excess over $12,400 $47,350 $122,300 25% $6,483 + 25% of excess over $47,350 $122,300 $198,050 28% $25,220 + 28% of excess over $122,300 $198,050 $388,350 33% $46,430 + 33% of excess over $198,050 $388,350 and over 35% $109,229 + 35% of excess over $388,350   IF YOUR FILING STATUS IS MARRIED FILING SEPARATELY Taxable Income Tax Computation Over But not over Marginal Rate The Tax is $0 $8,700 10% 10% of taxable income $8,700 $35,350 15% $870 + 15% of excess over $8,700 $35,350 $71,350 25% $4,868 +25% of excess over $35,350 $71,350 $108,725 28% $13,868 + 28% of excess over $71,350 $108,725 $194,175 33% $24,333 + 33% of excess over $108,725 $194,175 and over 35% $52,531 + 35% of excess over $194,175 2011 Tax Rates Note: IRS Tax Tables must be used for taxable income less than $100,000. IF YOUR FILING STATUS IS SINGLE Taxable Income Tax Computation Over But not over Marginal Rate The tax is $0 $8,500 10% 10% of taxable income $8,500 $34,500 15% $850 + 15% of excess over $8,600 $34,500 $83,600 25% $4,750 + 25% of excess over $34,500 $83,600 $174,400 28% $17,025 + 28% of excess over $83,600 $174,400 $379,150 33% $42,449 + 33% of excess over $174,400 $379,150 and over 35% $110,017 + 35% of excess over $379,150 IF YOUR FILING STATUS IS MARRIED FILING JOINTLY OR SURVIVING SPOUSE Taxable Income Tax Computation Over But not over Marginal Rate The tax is $0 $17,000 10% 10% of taxable income $17,000 $69,000 15% $1,700 + 15% of excess over $17,000 $69,000 $139,350 25% $9,500 + 25% of excess over $69,000 $139,350 $212,300 28% $27,088 + 28% of excess over $139,350 $212,300 $379,150 33% $47,514 + 33% of excess over $212,300 $379,150 and over 35% $102,574 + 35% of excess over $379,150 IF YOUR FILING STATUS IS HEAD OF HOUSEHOLD Taxable Income Tax Computation Over But not over Marginal Rate The tax is $0 $12,150 10% 10% of taxable income $12,150 $46,250 15% $1,215 + 15% of excess over $12,150 $46,250 $119,400 25% $6,330 + 25% of excess over $46,250 $119,400 $193,350 28% $24,618 + 28% of excess over $119,400 $193,350 $379,150 33% $45,324 + 33% of excess over $193,350 $379,150 and over 35% $106,638 + 35% of excess over $379,150 IF YOUR FILING STATUS IS MARRIED FILING SEPARATELY Taxable Income Tax Coomputation Over But not over Marginal Rate The tax is $0 $8,500 10% 10% of taxable income $8,500 $34,500 15% $850+ 15% of excess over $8,500 $34,500 $69,675 25% $4,750 + 25% of excess over $34,500 $69,675 $106,150 28% $13,544 + 28% of excess over $69,675 $106,150 $189,575 33% $23,757 + 33% of excess over $106,150 $189,575 and over 35% $51,287 + 35% of excess over $189,575   Individual Deductions 2012 Standard Deductions Filing Status Standard Deduction Age 65 and Over (Each)  Married Filing Jointly $11,900 $ 1,150   Single $5,950 $ 1,450 Head of Household $8,700 $ 1,450   Married Filing Separately $5,950 $ 1,150    Legally Blind Additional $ 1,150   Dependent Children-The standard deduction may not exceed the greater of $950 or the amount of the child's earned income plus $300 (not to exceed $5,700).   2011 Standard Deductions Filing Status Standard Deduction Age 65 and Over or Blind (Each) Married Filing Jointly $11,600 $ 1,150   Single $5,800 $ 1,450   Head of Household $8,500 $ 1,450   Married Filing Separately $5,800 $ 1,150   Dependent Children-The standard deduction may not exceed the greater of $950 or the amount of the child's earned income plus $300 (not to exceed $5,700). Personal Exemption   2012 2011     $3,800 $3,700       Mileage Rates    Purpose 2010 2011     Business 50.0¢ per mile Before 7/1 51.0¢ per mile  After 6/30 55.5¢ per mile       Medical   16.5¢ per mile Before 7/1 19¢ per mile After 6/30 23.5¢ per mile     Charitable   14¢ per mile 14¢ per mile      Moving  16.5¢ per mile 19¢ per mile       Social Security Information Maximum Earnings 2012 2011 Subject to: Social Security Tax $110,100  $106,800 Medicare Tax No Limit No Limit Rate Of Tax 2012 2011 Employee:     Social Security Tax 6.20% 4.20% Medicare Tax 1.45% 1.45% Self Employed: Social Security Tax 12.40% 10.40% Medicare Tax 2.90% 2.90% Maximum Tax Paid By 2012 2011 Employee:     Social Security $6,826.20 $4,485.60 Medicare No Limit No Limit Self Employed: Social Security $13,652.40  $11,107.20 Medicare No Limit No Limit Maximum Amount of Earnings to Still Receive Full Benefits 2012 2011 Full Retirement Age (FRA) No Limit No Limit Year FRA reached $38,880 $37,680 Under FRA $14,640  $14,160   McClure, Inserra & Company, Chartered 1650 N. Arlington Heights Road Arlington Heights IL 60004  847-870-0380