Online Tax Filing Blog

The Official Blog of Tax Software


Bush Tax Cuts Expiring and What That Could Mean For You

When filing your taxes this upcoming year, you will be filing your taxes for 2012 and therefore can determine the amount of taxes you owe by the 2012 income tax brackets. However, the current Bush-Era tax cuts are about to expire and you may be affected. There are three possible scenarios for the 2013 tax brackets, and Congress has until December 31, 2012 to decide.
How Much You Will Owe When You File In 2013
When you file your 2012 taxes before April 15, 2013, the amount of taxes you owe are determined by the 2012 tax bracket rates listed below. Keep in mind that the “taxable income” used in this table is not your gross income. Taxable income is generally some or all items of income that are reduced by expenses and other deductions.
2012 Tax Brackets
 How The Expiring Tax Cuts Could Affect You
The Bush tax cuts are set to expire at the end of 2012, while this may not affect the amount you will owe this upcoming year, the first paycheck you earn in 2013 will fall under the new tax bracket.  The 2013 income tax brackets apply to money that you earn during 2013.There are three possible scenarios on how the 2013 tax brackets could affect you and Congress only has until the end of December to decide.
Three Most Likely Scenarios For The 2013 Tax Brackets
1. Tax Brackets Proposed by President Obama: Expiration of the Bush-era tax cuts expire for high income taxpayers  only. *Married filing separately, has not yet been determined.
2013 Tax Brackets
2. Congress Proposed Tax Brackets: Bush tax cuts extended for all taxpayers. *Married filing separately, has not yet been determined.

2013 Tax Brackets


3. If they cannot reach a compromise: Bush tax cuts expire for everyone. *Married filing separately, has not yet been determined.

Possible 2013 Tax Brackets

There is also a chance that the tax brackets for 2013 might differ slightly from one of the above scenarios. It may be several months before anyone has a clear indication on what the 2013 tax brackets will be. We will let you know when Congress has reached a decision and the 2013 tax brackets are finalized.

Comments are closed
Copyright © 2013 TaxSlayer LLC | 706-922-6741 | 3003 Allen Drive Evans, GA 30809
© 2013 Refund distribution subject to IRS acceptance of return & University National Bank. *IRS refund times will vary but most IRS refunds will be issued in less than 21 days after efiling. TaxSlayer cannot guarantee date of receipt of refund. Your Privacy is Important: We do not rent, sell or share your personal information with anyone. Your e-mail is used to communicate with you about your return status, retrieve your Username or reset your Password. *TaxSlayer phone support available January 2nd through April 19th. (C) 2013 JR Motorsports, LLC. The name, likeness and signature of Dale Earnhardt Jr are used with the permission of JR Motorsports, LLC and JRM Licensing, LLC.

*Free tax advice is available for free with TaxSlayer Premium Edition. This product is available by phone or email, Monday – Friday through April 15th. Please check the website for the hours of operation as they may vary due to capacity. * guarantees accurate calculations or we will reimburse you any Federal and/or State penalties and interest charges. *Maximum Refund Guarantee- Your refund is based on data supplied by you and is calculated based on the schedule and forms supported by A larger refund or smaller tax liability cannot be due to differences in data submitted to or positions taken that are contrary to law. If you find that another tax software calculated a larger refund or smaller tax liability based on the same information provided to, we will refund your applicable fees paid to *Actual prices for services rendered are determined at the time of print or efile and are subject to change without notice. Prices are good until April 1st 2013.

*All major forms and schedules: Your return is completed by all of the major forms and schedules supported by To see the complete list of major forms and schedules supported by visit *Supported Federal Forms page.
Go to top