Federal Income Tax Brackets 2011: Guide To What You Owe?

Will the 2011 Federal Income Tax Brackets actually tell you how much you owe the IRS?

We don’t recommend using the 2011 Federal Income Tax Brackets as a guide. The only way to figure out your tax bill is to prepare your tax form. Why? A big reason is that tax brackets assume all income is ordinary; that is income from wages, self-employment or short-term capital gain. Dividends and long-term capital gains are taxed at lower rates and certain types of income, like Muni-bonds, are tax free.

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