United States

Individual - Sample personal income tax calculation

Last reviewed - 28 February 2025

Assumptions

Calendar year 2024

Resident alien husband and wife with two children (age 7, 9), both of whom qualify for the child tax credit; one spouse earns all the income, none of which is foreign-source income. A joint return is filed. AMT liability is less than regular tax liability.

Calculations based on 2024 tax tables.

Tax computation

	USD
Gross income:
Salary	150,000
Interest	18,500
Long-term capital gain (on assets held for more than one year)	3,000
Total gross income	171,500
Adjustments	0
Adjusted gross income (AGI)	171,500
Less:
Standard deduction	(29,200)
Taxable income	142,300

Tax thereon:
On taxable income of 139,300 (142,300 less capital gain of 3,000) at joint-return rates	20,752
On 3,000 capital gain at 15%	450
Total tax before credits	21,202
Less:
Credits (child tax credit equal to 2,000 per child)	(4,000)
Net tax	17,202