Income Tax Calculator

Calculate income tax using progressive brackets you supply, with effective and marginal rates.

Please note: A general estimate, not tax advice. Rates, bands, allowances and rules differ by country and change frequently. Enter the figures that apply to you and confirm with a qualified tax professional or your tax authority.

What the Income Tax Calculator does

Progressive income tax applies each rate only to the income falling within its band. This calculator takes the brackets as input rather than assuming a country, because rates and thresholds change every year and vary by jurisdiction and filing status.

Formula

Taxable income = Gross income − Deductions
Tax = Σ (Income within each band × That band's rate)
Effective rate = Total tax ÷ Gross income × 100
Marginal rate = The rate of the highest band your income reaches

Inputs explained

Input	Unit	Required	Notes
Gross annual income	selected currency	Yes	Accepts more than 0.
Deductions and allowances	selected currency	Optional	Standard deduction, personal allowance, or itemised deductions. Accepts 0 or more.
Bracket thresholds	text	Yes	The income level where each band starts. Always begin with 0. The greyed-out example shows the format only — it is not a current rate table for any country.
Bracket rates (%)	text	Yes	One rate per threshold, in the same order. Use the bands published by your own tax authority for the year you are calculating.
Tax credits	selected currency	Optional	Subtracted from the tax owed, not from income. Accepts 0 or more.
Tax already withheld	selected currency	Optional	Accepts 0 or more.
Currency	one of 10 options	Optional	—

How to use it

Choose Currency.
Enter Gross annual income, Bracket thresholds and Bracket rates (%).
Optionally add Deductions and allowances, Tax credits and Tax already withheld.
Select Calculate.

Worked example

$85,000 income, $14,600 standard deduction, brackets at 0/11,000/44,725/95,375 taxed 10/12/22/24%.

Income: 85000
Deductions: 14600
Thresholds: 0, 11000, 44725, 95375
Rates: 10, 12, 22, 24

Taxable $70,400 → $1,100 + $4,047 + $5,649 = $10,796 tax. Effective 12.7%, marginal 22%.

Frequently asked questions

Does moving into a higher bracket tax all my income at that rate?

No. This is the most common misunderstanding in tax. Only the income above the threshold is taxed at the higher rate — a raise never leaves you worse off.

What is the difference between a deduction and a credit?

A deduction reduces taxable income, so it saves you tax at your marginal rate. A credit reduces the tax bill directly, so a $1,000 credit always saves $1,000.

Why do I have to enter the brackets myself?

Because encoding one country's rates would silently go stale and be wrong for everyone else. Entering them keeps the result honest and current.

Method and sources

Method. Progressive marginal banding: taxable income is income less the deductions you enter, and each band is taxed at its own rate on the portion of income that falls inside it. Credits are subtracted from the tax due rather than from income.

Assumptions

The bands you enter are marginal bands that apply in ascending order from zero, which is how most income-tax systems are structured but not all.
Deductions reduce taxable income in full, and credits reduce the tax due in full without being capped or phased out.

Limitations

Social security, national insurance, payroll, state, provincial and local taxes are excluded unless you build them into the bands yourself.
Real tax systems layer on phase-outs, surcharges, caps, alternative minimum calculations and filing-status differences that a flat list of bands cannot express.
No rate table ships with this calculator, so it can never be out of date — and equally, it can never tell you that the figures you entered are wrong or stale.

Sources

Your own tax authority’s published rate tables for the relevant year — Varies by jurisdiction. The bands and rates. This calculator deliberately ships none, so the only authoritative source is the one that governs you.