How much federal tax would i have to pay on four thousand two hundred and thirteen dollars?

I am cashing a life insurance policy . That is what it is worth.i am single and i make about 35k a year. I need the money for a down payment on a car.

Depends on what type of income it is, how much other income you have, are you a dependent of someone else, and what your filing status is. If it’s capital gains income, it’s subject to maximum rate of 15% (5% for those in 10% or 15% bracket). If it’s regular income it would be subject to your regular tax rate. If it’s self-employment income, it would be subject to self-employment (SE) tax, which would be 15.3% of 92.35% of net self-employment income. If that is your only income for the year, the only tax that you would be liable to pay would be if it was self-employment income. The tax on that would be $595 (4,213 x .9235 x .153). But without knowing if that is the only income you have or if you have other income there is no way to give you a more accurate number.

7 Responses to “How much federal tax would i have to pay on four thousand two hundred and thirteen dollars?”

  1. Samatha Stickers on July 30th, 2009 at 1:47 pm

    Depends on how you earned it, whether you are married or single, whether you earned other money, charitable donations, and other deductions.
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  2. Somewhere between 0 and close to 50% depending on what it is what other income you have.
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  3. Depends
    Is that for the whole year?
    just one pay check? a bonus or commision?
    Stock sale?
    If it is a stock sale, and you have owned 2 or moe years, you only pay 15% of the profit.

    Of course when the FAIRTAX ACT H.R. 25 passes, you will have no income tax no withholding. Only a retail sales tax on new items only. check it out. http://www.fairtax.org
    Frequently Asked Questions about the FairTax http://www.fairtax.org/fairtax/faqs.htm
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  4. Unfortunately its not that simple question, it all depends on your tax bracket, how much you make a year, your filing status (Single, Married Or Head of household). it’s a combinations of many things that you need to take into account.
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  5. bostonianinmo on July 30th, 2009 at 4:07 pm

    None, if that was your only income for the year and was not self-employment income.
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  6. You don’t pay any federal tax if you are Single Dependent and your income is up to $5,350, and if you are Single and no one can claim you dependent and your income is up to $8,750.

    On your income from job, social security and medicare taxes are withheld at 7.65%.
    If you have self-employed income, you must pay social security and medicare taxes at @15.3%. For this you file Schedule SE (Form 1040) Self Employment Tax.
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  7. Depends on what type of income it is, how much other income you have, are you a dependent of someone else, and what your filing status is. If it’s capital gains income, it’s subject to maximum rate of 15% (5% for those in 10% or 15% bracket). If it’s regular income it would be subject to your regular tax rate. If it’s self-employment income, it would be subject to self-employment (SE) tax, which would be 15.3% of 92.35% of net self-employment income. If that is your only income for the year, the only tax that you would be liable to pay would be if it was self-employment income. The tax on that would be $595 (4,213 x .9235 x .153). But without knowing if that is the only income you have or if you have other income there is no way to give you a more accurate number.
    References :

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