Jul 16, 2007 #1 B bobbee25 Recycles dryer sheets Joined Apr 28, 2004 Messages 137 When your income places you in a higher tax bracket, isn't the higher tax rate only applied to the amount over the previous bracket versus it all.
When your income places you in a higher tax bracket, isn't the higher tax rate only applied to the amount over the previous bracket versus it all.
Jul 16, 2007 #3 S Sue J Thinks s/he gets paid by the post Joined Feb 28, 2007 Messages 3,683 Yes, that's right. See this chart to see how it all works - 2007 Federal Tax Rate Schedules
