2020 Tax Brackets, Filing Requirements, Cutoffs, and Income Limits

These are the tax brackets and other cutoffs for tax year 2020. This applies to calendar year 2020 taxes filed in April 2021.

2019 tax brackets and cutoffs for taxes filed in April 2020 are here.

Tax Return Filing Requirements

You probably need to file a tax return if you:

  • Had income greater than the standard deduction (see below).
  • Had self-employment income greater than $400.
  • Received the Premium Tax Credit (Obamacare subsidy).
  • Had income tax withheld and want your refund.

There are a few other special situations where you may need to file. You can check using this IRS tool.

Tax Brackets

Single Filer 2020 Tax Brackets

Tax rate Taxable income bracket Tax owed
10% $0 to $9,875 10% of taxable income
12% $9,876 to $40,125 $987.50 plus 12% of the amount over $9,875
22% $40,126 to $85,525 $4,617.50 plus 22% of the amount over $40,125
24% $85,526 to $163,300 $14,605.50 plus 24% of the amount over $85,525
32% $163,301 to $207,350 $33,217.50 plus 32% of the amount over $163,300
35% $207,351 to $518,400 $47,367.50 plus 35% of the amount over $207,350
37% $518,400 or more $156,235 plus 37% of the amount over $518,400

Married Filing Jointly and Qualifying Widow(er) 2020 Tax Brackets

Tax rate Taxable income bracket Tax owed
10% $0 to $19,750 10% of taxable income
12% $19,751 to $80,250 $1,975 plus 12% of the amount over $19,750
22% $80,251 to $171,050 $9,235 plus 22% of the amount over $80,250
24% $171,051 to $326,600 $29,211 plus 24% of the amount over $171,050
32% $326,601 to $414,700 $66,543 plus 32% of the amount over $326,600
35% $414,701 to $622,050 $94,735 plus 35% of the amount over $414,700
37% $622,051 or more $167,307.50 plus 37% of the amount over $622,050

Married Filing Separately 2020 Tax Brackets

Tax rate Taxable income bracket Tax owed
10% $0 to $9,875 10% of taxable income
12% $9,876 to $40,125 $987.50 plus 12% of the amount over $9,875
22% $40,126 to $85,525 $4,617.50 plus 22% of the amount over $40,125
24% $85,526 to $163,300 $14,605.50 plus 24% of the amount over $85,525
32% $163,301 to $207,350 $33,217.50 plus 32% of the amount over $163,300
35% $207,351 to $311,025 $47,367.50 plus 35% of the amount over $207,350
37% $311,026 or more $83,653.75 plus 37% of the amount over $311,025

Head of Household 2020 Tax Brackets

Tax rate Taxable income bracket Tax owed
10% $0 to $14,100 10% of taxable income
12% $14,101 to $53,700 $1,410 plus 12% of the amount over $14,100
22% $53,701 to $85,500 $6,162 plus 22% of the amount over $53,700
24% $85,501 to $163,300 $13,158 plus 24% of the amount over $85,500
32% $163,301 to $207,350 $31,830 plus 32% of the amount over $163,300
35% $2007,351 to $518,400 $45,926 plus 35% of the amount over $207,350
37% $518,401 or more $154,793.50 plus 37% of the amount over $518,400

Trusts and Estates 2020 Tax Brackets

Tax rate Taxable income bracket Tax owed
10% $0 to $2,600 10% of taxable income
24% $2,601 to $9,450 $260 plus 24% of the amount over $2,600
35% $9,451 to $12,950 $1,904 plus 35% of the amount over $9,450
37% $12,951 or more $3,129 plus 37% of the amount over $12,950

Special Taxes

Capital Gains 2020 Tax Rates

Filing Status Maximum Income for 0% Rate Maximum Income for 15% Rate
Single Filer $40,000 $441,450
Married Filing Jointly and Qualifying Widow(er) $80,000 $496,600
Married Filing Separately $40,000 $248,300
Head of Household $53,600 $469,050
Trusts and Estates $2,650 $13,150

Alternative Minimum Tax (AMT) 2020 Exemptions

Filing Status Amount
Single $72,900
Married filing jointly $113,400
Married filing separately $56,700
Trusts and estates $25,400

Deductions and Credits

2020 Standard Deduction

Filing Status Amount
Single $12,400
Married filing jointly $24,800
Married filing separately $12,400
Head of household $18,850

Section 199A Qualified Business Income Deduction 2020 Cutoffs

Learn more about the QBI deduction here.

Filing Status Threshold Phase-out
Single Filer $163,600 $213,300
Married Filing Jointly and Qualifying Widow(er) $326,600 $426,600
Married Filing Separately $163,600 $213,300
Head of Household $163,600 $213,300

2020 Standard Mileage Deduction Rates

Type Amount
Business $0.57.5 per mile
Medical $0.17 per mile
Moving $0.17  per mile
Charity $0.14 per mile

Retirement

2020 Retirement Contribution Limits

Account Type Under 50 Age 50+
Traditional/Roth IRA $6,000 $7,000
401(k) Employee Contribution $19,500 $25,500
Maximum Combined 401(k) Contribution $57,000 $63,000
SIMPLE IRA Employee Contribution $13,500 $16,500

2020 IRA Income Limits

The lower number is the maximum income at which you can make a full contribution. After that, your maximum contribution decreases to $0 as your income approaches the second number.

Filing Status Deductible Traditional IRA Roth IRA
Single $65,000 to $75,000 $124,000 to $138,999
Married Filing Jointly $104,000 to $124,000 $196,000 to $205,999
Married Filing Separately $1 to $9,999 $1 to $9,999

2020 Social Security Cutoffs

Type Cutoff
Wage base (tax cap) Social Security tax on first $137,700 in earning
Full retirement age 66 years and 4 months
Minimum age to claim 62
Maximum payout age 70
Earnings limit under full retirement age $18,240
Earnings limit in year reaching full retirement age $48,600

2020 Saver’s Credit Income Limits

The Saver’s Credit gives you a tax credit for up to the first $2,000 of your retirement contributions. The credit varies based on your income and filing status.

Credit Amount Single Filer Income Limit Joint Filer Income Limit
50% $19,500 $39,000
20% $21,250 $42,500
10% $32,500 $65,000

To calculate your credit, take the lower of $2,000 or the amount of money you put into an IRA, 401(k), or other retirement plan. Then multiply that amount by your credit percentage. If your income is above the limit for the 10% credit, your credit is $0.

Example:

  • $5,500 retirement contribution and $35,000 income as a joint filer.
  • $2,000 is less than $5,500.
  • $2,000 x 50% = $1,000 credit.

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