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rohitgopidi
Sep 23, 2010, 12:58 PM
Hi ,

I have finished my masters and I'm in OPT now. I recently got a FT position and I understand that there will be a federal and a state tax.
Could you please tell me how much would the federal tax be. Can you please tell me the slab's as for xxk pay, the federal tax is xxx

AtlantaTaxExpert
Sep 23, 2010, 01:17 PM
U.S. income tax rates are progressive in nature (the more you earn, the higher the rate).

It starts at 10%, then 15%, then 25%, then 28%, then 31%, and finally 35%.

State tax rates depend on the state, which you did NOT identify.

wnhough
Sep 23, 2010, 11:49 PM
Remember this: the Bush tax cuts of 2001 and 2003 are set to expire at the end of 2010. Thus, if Congress doesn’t act, the relatively low income tax rates that we’ve been enjoying will soon be a thing of the past. They will be replaced by the pre-2001 tax brackets.

In other words, the 10%, 15%, 25%, 28%, 33% and 35% tax brackets that we’ve grown accustomed to will be replaced by 15%, 28%, 31%, 36%, and 39.6% brackets.