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Wednesday, April 8, 2009

Tax Time in America - April 15th 2009

Tax Time in America
Its that time of the Year April 15th is approaching, and Im running around to collect my returns from the CPA, verify with all the statements make the IRA and other contributions and see the total damage…. Not bad I think im getting money back this time, thanks to all the zero deductions and excess contributions ahead of time.
So we scream and complain about taxes all the time, We pay federal, state, county, social security, medicare, property, business, sales, telecom,911 taxes etc
Yes when we see too many line items no one is happy, but I wanted to compare our tax table to other leading nations in the world, this is what I found.
Seeing through I don’t think we are that bad, ofcourse there are better examples like Singapore, but we cannot compare them to us, may Singapore to Fairfax county – that too MAY BEEE…..
USA
Average 10 year experienced SW Professional makes 90,000 to 130,000 USD

0 to $16,700 10% of the amount over $0
$16,701 to $67,900 $1,670.00 plus 15% of the amount over $16,700
$67,901 to $137,050 $9,350.00 plus 25% of the amount over $67,900
$137,051 to $208,850 $26,637.50 plus 28% of the amount over $137,050
$208,851 to $372,950 $46,741.50 plus 33% of the amount over $208,850
$372,951 no limit $100,894.50 plus 35% of the amount over $372,950

UK
Starting rate for savings: 10%*
£0-£2,440
Basic rate: 20%
£0-£37,400
Higher rate: 40%
Over £37,400
Canada
Average 10 year experienced SW Professional makes 75,000 to 100,000 Canadian dollars
15% on the first $38,832 of taxable income,
22% on the next $38,832 of taxable income (on the portion of taxable income between $38,832 and $77,664),
26% on the next $48,600 of taxable income (on the portion of taxable income between $77,664 and $126,264),
29% of taxable income over $126,264.
Provincial taxes like US state taxes are an average of about 8 to 14% on top
Australia
Average 10 year experienced SW Professional makes 80,000 to 125000 dollars
Taxable income Tax on this income
$0 – $6,000 Nil
$6,001 – $34,000 15c for each $1 over $6,000
$34,001 – $80,000 $4,200 plus 30c for each $1 over $34,000
$80,001 – $180,000 $18,000 plus 40c for each $1 over $80,000
Over $180,000 $58,000 plus 45c for each $1 over $180,000

Singapore – Lowest
Average 10 year experienced SW Professional around 100,000 to 120,000 dollars
Taxable income Tax on this income
$0 – $20,000 Nil
$20,001 – $30,000 3.5c for each $1 over $20,000
$30,001 – $40,000 350 plus 5.5c for each $1 over $30,000
$40,001 – $80,000 $900 plus 8.5c for each $1 over $40,000
$80,001 – $160,000 $4300 plus 14c for each $1 over $80,000
$160,001 – $320,000 $15,500 plus 17c for each $1 over $160,000
Over $320,000 $42,700 plus 20c for each $1 over $320,000

Japan
Tax Base (Yen) Tax
1 - 1,950,000 5%
1,950,001-3,300,000 10%
3,300,001 - 6,950,000 20% of base exceeding 3,300,000
6,950,001-9,000,000 23% of base exceeding 6,950,000
9,000,001 - 18,000,000 33% of base exceeding 9,000,000
18,000,001 and over 40% of base exceeding 18,000,000

INDIA
Average 10 year experienced SW Professional makes 15,00,000 to 20,00,000 rupees In India, Individual income tax is a progressive tax with three slabs.
No income tax is applicable on all income up to Rs. 1,50,000 per year. (Rs. 1,80,000 for women and Rs. 2,25,000 for senior citizens)
From 1,50,001 to 3,00,000 : 10% of amount greater than Rs. 1,50,000 (Lower limit changes appropriately for women and senior citizens)
From 3,00,001 to 5,00,000 : 20% of amount greater than Rs. 3,00,000 + 15,000 (Rs. 12,000 for women and Rs. 7,500 for senior citizens)
Above 5,00,000 : 30% of amount greater than Rs. 5,00,000 + 55,000 (Rs. 52,000 for women and Rs. 47,500 for senior citizens)
Surcharge -- we have invented tax on tax - thats really unique no one has this
A 10% surcharge (tax on tax) is applicable if the taxable income (taking into consideration all the deductions) is above Rs. 10 lakh (Rs. 1 million). The limit of 10 lacs was increased to Rs. 1 crore (Rs. 10 million) with effect from 1 June 2007 for corporate assessees

1 comment:

  1. Tax Time in India.

    File your taxes at www.TaxTime.in

    ReplyDelete