Im not referring to how much is withheld or how much you have to send in within so many days of winning but the total percentage, if you have no deductions such as children, medical expenses. What is the maximum % of federal taxes one could have to pay.
2006-11-04 15:17:00 · 4 answers · asked by casey 5 in Business & Finance ➔ Taxes ➔ United States
Others have already stated that 35% is the highest Federal income tax rate. I included a link the the IRS tax rate schedules.
2006-11-05 06:57:53 · answer #1 · answered by STEVEN F 7 · 0⤊ 0⤋
The maximum Federal income tax rate is 35% however the question is how much of the winnings would you be required to pay on. Hopefully you would have won the money in the early part of the year and found a good investment person who would have sheltered some of that for you. While you will likely pay at the 35% rate if you can turns some of that into sheltered none tax dollars you will pay less overall.
2006-11-05 12:52:09 · answer #2 · answered by ? 6 · 0⤊ 0⤋
Maximum federal tax rate is 35%. Unless the winner's already in this bracket, a small portion of the multi-million dollars would be taxed at a lower rate.
2006-11-05 02:12:48 · answer #3 · answered by Judy 7 · 0⤊ 0⤋
The maximum federal rate is 35% on taxable income above $327,000.
2006-11-05 06:24:22 · answer #4 · answered by waggy_33 6 · 0⤊ 0⤋