The income tax tax table allows you to figure out and compute the exact amount of taxes that you are supposed to pay to the IRS. You should also have a tax table for your state as well. You should get the booklet and forms from your state revenue department. You only want to look at this after you have taken all your deductions. The numbers that are listed are based upon the final figure or your adjusted gross income.
The adjusted gross income is computed after adding up your total salary, wages, tips, and dividends. Once you have this figure you would then subtract all standard deductions, and make adjustments for any credits or readjustments from prior year's taxes.
This would be the final number. You then look at the column depending on your marital status and how you intend to file. There are 4 different columns to choose from which are: single, married, married filing separately and head of household. Then you scroll down to find the figure that matches your number and get your tax amount due. You need to then look at your W-2 or documents that indicate what you paid already towards your taxes to determine whether or not you get a refund or you need to make a final payment.
It is that simple. The easiest part is looking at the income tax table to find out the tax amount. The hardest part is determining your adjusted gross income. If you have a business with a lot of expenses you will need to get each expense itemized. Make sure that your receipts align with the figures that you've listed. And you can only use expenses that occurred in the year of the taxes that you are completing. If you didn't take advantage of the taxes from a car purchase you cannot take it the next year. This will be immediately removed from your deductions and added to the amount you owe. Even worse you could pay interest on the incorrect amount.
For those that earned incomes that are larger than the income tax table amount make sure you have the correct form. If you do have the correct form it will tell you the exact formula to compute your taxes.