Hi
I'm a resident of India and will be immigrating to Ohio - USA in Jan 2008 with my wife(dependent).
I'll be travelling on H1B visa with annual salary of $60,000.
Could you please let me know the approximate tax that I will have to pay yearly? I've heard that one has to pay 30% flat tax in USA. Is that true?
Thanks in advance.

Try searching "IRS.GOV" and estimate your tax there. Count on losing at least 35% for federal tax and social security... welcome to capitalism...

Thanks :)

Quote:

---

Originally Posted by sid_dreams

Hi
I'm a resident of India and will be immigrating to Ohio - USA in Jan 2008 with my wife(dependent).
I'll be travelling on H1B visa with annual salary of $60,000.
Could you please let me know the approximate tax that i will have to pay yearly? I've heard that one has to pay 30% flat tax in USA. Is that true?
Thanks in advance.

---

1. You will file resident tax return as married filing jointly or separately for 2008. Your spouse is never your dependent. You can file joint return. Joint return is mostly better.

2. You will pay social security tax at 6.2%, Medicare at 1.45% and then federal income tax and state income tax.
Your taxes on $60K income in 2008 will be
SS $3720
Medicare $870
Federal income tax (approx) $ 5400.
State income tax (approx) $2500

Net taxes (includes all taxes) will be around 20%. If you have other deductions, then your federal tax and state tax will become lesser. For example, you can claim moving expenses.
Read: Your U.S. Tax Return: Moving Expenses

20%? Not in this lifetime, or the next...

So what are the other taxes that I missed or where do my calculations need correction?

Try "Living it ..." that brings more understanding...