What Is the Lowest Federal Income Tax Bracket?
In the United States, income tax is calculated in brackets, or levels of taxation, based on your overall taxable income. Taxable income is gross income minus any allowed deductions. The standard deduction for 2009 is $5,700 dollars. If you earned $15,700 in 2009, your taxable income, after subtracting the standard deduction, would be $10,000. In 2009, the lowest federal tax rate is 10 percent. The tax bracket that this rate applies to is based on your filing status.
