Taxes On Your Bonus
Include these in your income:
- Bonuses and awards from your employer reported on your W-2
- Vacation trips you receive for going beyond sales goals
Usually, your employer will withhold taxes from bonuses you receive at the flat rate of 25%. However, if you earned more than $1 million a year, the withholding rate will be 39.6% on the amount over $1 million.
Learn how to report your rental property expenses with advice from the tax experts at H&R Block.
Learn more about the capital gains tax exemption on the sale of a home with the experts at H&R Block.
The first step in how to calculate long-term capital gains tax is generally to find the difference between what you paid for your property and how much you sold it for —adjusting for commissions or fees. Depending on your income level, your capital gain will be taxed federally at either 0%, 15% or 20%.
Have questions about taxes and retirement? Answer common retirement tax questions about 401(k) accounts and rollovers with the H&R Block Tax Institute.