SINGLE FILER
$28,000 income, no dependents, no charitable contribution
$28,000 income, no dependents, charitable contribution
$60,000 income, no dependents, no charitable contribution
MARRIED FILING JOINTLY, TWO INCOMES $60,000 TOTAL
No dependents, no charitable contribution
No dependents, charitable contribution
One dependent 17 or older, one dependent under 17, charitable contribution
MARRIED FILING JOINTLY, ONE INCOME
$45,000 income, no dependents, no charitable contribution
$45,000 income, four children under 17, no charitable contribution
$45,000 income, two children under 17, two dependents 17 or older, no charitable contribution
$165,000 income, two children under 17, two dependents 17 or older, itemized deductions
$500,000 income, no dependents, itemized deductions
$500,000 income, two children under 17, two dependents 17 or older, itemized deductions
HEAD OF HOUSEHOLD
Four children under 17, no charitable contribution
Two children under 17, two dependents 17 or older, no charitable contribution
Two children under 17, two dependents 17 or older, charitable contribution
MARRIAGE PENALTY
Two single-filers vs. married filing jointly
Scenarios used 2001 figures:
Standard deduction for single - $4,550
Standard deduction for married filing jointly - $7,600
Standard deduction for head of household - $6,650
Personal exemption - $2,900 per person
Calculations ignored effects of earned income credit.
Source: D. Brock Griffiths, tax specialist with Ernst & Young