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In the instruction of Form 1040, there is a tax table on p78, and a tax rate schedule on 103. Both seem to be used for calculating the tax based on a given amount of taxable income in Line 44 in Form 1040.

What are the relation and difference between the tax rate schedule and the tax table?

For example, suppose the taxable income is 10000 dollars for single filing status.

According to the tax rate schedule, the tax is 927.50 + 15%*725 = 1036.25 dollars.

According to the tax table, the tax is 1040 dollars.

Are the amounts found out by the two methods supposed to be the same?

Since they are not the same, which method should be used for finding out the tax for a given taxable amount?

Thanks.

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  • See the instructions. Use the table. The rate schedule explains how the table was derived. It isn't worth arguing about $3.75.
    – keshlam
    Jan 8, 2017 at 5:49
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    Where in the instructions does it say their relations and differences?
    – Tim
    Jan 8, 2017 at 5:52
  • I changed the title of your question to avoid this question being flagged as a duplicate of this related question: Are tax rate and tax table related?
    – Ben Miller
    Jan 8, 2017 at 6:49

1 Answer 1

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The tax table results in roughly the same tax as the tax rate schedule, plus or minus a few dollars. The rounding is a result of the range of incomes that share a single tax amount in each row of the table.

According to the instructions for line 44, you are required to use the tax table if your taxable income is less than $100,000.

For some information on the purpose and history of the tax table, see this question: What's the point of tax tables?

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