Tax Rates

STE Corporation is a CPA firm that provides accounting services in Chicago, Illinois

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2021 Tax Rates – Single Taxpayers – Standard Deduction $12,550

2020 Rates

10%

0 to $9,950

12%

$9,950 to $40,525

22%

$40,525 to $86,375

24%

$86,375 to $164,925

32%

$164,925 to $209,425

35%

$209,425 to $523,600

37%

Over $518,400

2021 Tax Rates – Married Jointly & Surviving Spouses – Standard Deduction $25,100

10%

0 to $19,900

12%

$19,900 to $81,050

22%

$81,050 to $172,750

24%

$172,750 to $329,850

32%

$329,850 to $418,850

35%

$418,850 to $628,300

37%

Over $628,300

2021 Tax Rates – Married Filing Separately – Standard Deduction $12,550

10%

0 to $9,950

12%

$9,950 to $40,525

22%

$40,525 to $86,375

24%

$86,355 to $164,925

32%

$164,925 to $209,425

35%

$209,425 to $314,150

37%

Over $314,150

2021 Tax Rates – Head of Household – Standard Deduction $18,800

10%

0 to $14,200

12%

$14,200 to $54,200

22%

$54,200 to $86,350

24%

$86,350 to $164,900

32%

$164,900 to $209,400

35%

$209,400 to $523,600

37%

Over $523,600

2021 Tax Rates – Estates & Trusts

10%

0 to $2,650

24%

$2,650 to $9,550

35%

$9,550 to $13,050

37%

Over $13,050

 

 

Social Security

2021 Tax Rates

Social Security Tax Rate: Employers

6.2%

Social Security Tax Rate: Employees

6.2%

Social Security Tax Rate: Self-Employed

15.3%

Maximum Taxable Earnings

$142,800

Medicare Base Salary

Unlimited

Medicare Tax Rate: Employers

1.45%

Medicare Tax Rate: Employees

1.45%

Additional Medicare Tax for income above $200,000 (single filers) or $250,000 (joint filers)

0.9%

Medicare tax on net investment income ($200,000 single filers, $250,000 joint filers)

3.8%

 

Miscellaneous

2021 Tax Rates

Business expensing limit: Cap on equipment purchases

$2,620,000

Business expensing limit: New and Used Equipment and Software

$1,050,000

Qualified Business Income threshold amount:

$164,925 (single and head of household); $329,800 (married filing joint return)

Qualified Small Employer Health Reimbursement Arrangement limit:

$5,300 (single coverage); $10,700 (family coverage)

Prior-year safe harbor for estimated taxes of higher-income

110% of your 2020 tax liability

Standard mileage rate for business driving

56 cents

Standard mileage rate for medical driving

16 cents

Standard mileage rate for moving driving – Members of the Armed Forces on active duty who move because of a permanent change of station

16 cents

Standard mileage rate for charitable driving

14 cents

Child Tax Credit

$2,000

Unearned income maximum for children under 19 before kiddie tax applies

$1,100

Maximum capital gains tax rate for taxpayers with income up to $40,400 for single filers, $80,800 for married filing jointly

0%

Maximum capital gains tax rate for taxpayers with income above $40,400 for single filers, $80,800 for married filing jointly

15%

Maximum capital gains tax rate for taxpayers with income above $445,850 for single filers, $501,600 for married filing jointly

20%

Capital gains tax rate for unrecaptured Sec. 1250 gains

25%

Capital gains tax rate on collectibles

28%

Maximum contribution for Traditional/Roth IRA

$6,000 if under age 50 $7,000 if 50 or older

Maximum employee contribution to SIMPLE IRA

$13,500 if under age 50 $16,500 if 50 or older

Maximum Contribution to SEP IRA

25% of eligible compensation up to $58,000

401(k) maximum employee contribution limit

$19,500 if under age 50 $26,000 if 50 or older

Estate tax exemption

$11,700,000

Annual Exclusion for Gifts

$15,000

 

Education

2021 Tax Rates

American Opportunity Credit (Hope)

$2,500

Lifetime Learning Credit

$2,000

Student Loan Interest Deduction

$2,500

Coverdell Education Savings Contribution

$2,000

Source: IRS Revenue Procedure 2020-45

 

Standard Meal Rates for Family Child Care Providers for income tax returns

Continental U.S.

2020-21 Tax Rates (July 1, 2020-June 30, 2021)

For each breakfast

$1.39

For each lunch or supper

$2.61

For each snack (up to 3 per day for each child)

$0.78

Alaska

2020-21 Tax Rates (July 1, 2020-June 30, 2021)

For each breakfast

$2.22

For each lunch or supper

$4.24

For each snack (up to 3 per day for each child)

$1.26

Hawaii

2020-21 Tax Rates (July 1, 2020-June 30, 2021)

For each breakfast

$1.62

For each lunch or supper

$3.06

For each snack (up to 3 per day for each child)

$0.91

Source: Federal Register

 

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OUR SERVICES

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Accounting

  • Statuary Accounts
  • Management Accounts
  • Bookkeeping
  • Business Plan
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Tax

  • Tax Investigation
  • Capitol Gains Tax
  • Tax Advisory
  • Corporation Tax

STECorporation consultation

Consulting

  • Registered Office Address
  • Company Formation
  • Company Secretarial
  • Legal Helpline

QuickBooks/ Bookkeeping Services

All of the financial information and data for your business should be organized and in one place so it is easy to access.  With our bookkeeping services, we will organize and manage your financial information within the QuickBooks software so you can easily access it at any time.  While we manage your financial matters on a daily and monthly basis, you will be in control as we will keep you updated and ensure you can access and monitor your finances.  If you are applying for a loan, doing your taxes, or budgeting, having quick access to your financial information is important.  We can assist large businesses and provide small business bookkeeping.

Advisory Services

Our accountants can take on an advisory role with your company through our business consulting services.  We will work with you to understand your financial goals and help you make the right decisions to reach your goals and help your business grow and become more profitable.  Our business advisory services include advisement for investments, taxes, payroll, bookkeeping, administration, and more.

Estate Planning

It is important to manage your estate to help protect its value and ensure that your assets are distributed properly between your beneficiaries.  Our accountants can assist with your estate planning, including managing the taxes to preserve its value and ensuring that your assets are distributed according to your wishes.  Our estate accountants will identify ways to protect your estate from inflation and taxes and minimize what you are paying in taxes to maximize its value.

Sales Tax / Nexus

Sales tax rates and laws are decided locally and differ between states and cities.  This can make sales and use tax difficult to manage for businesses, especially those that operate in multiple cities and states.  Our certified public accountants can help manage your sales and use taxes by ensuring that you are in compliance with applicable sales tax laws and identifying opportunities for refunds and exemptions.  We have a thorough knowledge of sales tax laws and we can even help businesses that operate in multiple states with filing their taxes.  Using Nexus tax analysis, we can help multi-state businesses stay in compliance with all applicable tax laws.

Payroll Services

We provide payroll services to small businesses and international businesses that operate in the U.S.  Our accountants will streamline your payroll process and manage the tax withholdings and benefit deductions from employee paychecks.  We can also file the tax returns for your business that account for the tax withholdings.

Call the CPAs of STE Corporation

Contact our CPA firm if you want to work with our accountants to help manage the finances for your business in Park Ridge, IL.  You can call STE Corporation at (815) 836-0100 to talk to our professionals or schedule a free consultation.

FREQUENTLY ASKED QUESTIONS

For tax years 2018 through 2025 interest on home equity loans is only deductible when the loan is used to buy, build or substantially improve the taxpayer’s home that secures the loan. Prior to 2018, many homeowners took out home equity loans. Unlike other consumer-related interest expenses (e.g., car loans and credit cards) interest on a home equity loan was deductible on your tax return.
You may be able to take an immediate Section 179 expense deduction of up to $1,040,000 for 2020 ($1,020,000 in 2019), for equipment purchased for use in your business, instead of writing it off over many years. There is a phaseout limit of $2,590,000 in 2020 ($2,550,000 in 2019). Additionally, self-employed individuals can deduct 100 percent of their health insurance premiums. You may also be able to establish a Keogh, SEP or SIMPLE IRA plan and deduct your contributions (investments).
In 2020 (as in 2019), medical and dental expenses are deductible to the extent they exceed 10 percent of your adjusted gross income or AGI. If your employer offers a Flexible Spending Account (FSA), Health Savings Account or cafeteria plan, these plans permit you to redirect a portion of your salary to pay these types of expenses with pre-tax dollars.
If you’re planning to make a charitable gift, it generally makes more sense to give appreciated long-term capital assets to the charity, instead of selling the assets and giving the charity the after-tax proceeds. Donating the assets instead of the cash avoids capital gains tax on the sale, and you can obtain a tax deduction for the full fair-market value of the property.

Frequently-Asked-Questions-min

WHAT OUR CLIENTS SAY ABOUT US

“Everyone at STE has been amazing. As a small business owner it is essential to have people on your team that are experts in all areas. When it comes to finance and taxes Jim and the team at STE fill that need. Thanks for being great at what you do and always be there!”

“STE has been handling our personal, business accounting, and payroll for years. They are knowledgeable, easy to reach, and very welcoming. Would definitely recommend them.”

“I have had nothing but pleasant experiences at STE. They are knowledgeable and provide great service.”

“We have used STE Corporation for our payroll and tax service needs over the past 3+ years and extremely pleased with the partnership we have created.”

“My husband has operated his painting business since 2004, first as a sole proprietorship and later as an S corporation. STE has been instrumental in helping him grow his business and remain in compliance. I cannot thank Mike, Marybeth, Jim, and Lisa enough for helping him get organized and stay that way. They have truly been the business office he needed in order to focus on the part of his business he enjoys – painting and customer service Their professional staff literally have never let him down – payroll, state taxes, federal taxes, consultation, ledger reconciliation, profit and loss sheets, and probably lots of things I do not even know about! Hiring this firm was the best decision he could have made. He looks forward to visiting the office, everyone makes him feel like family. I appreciate their professionalism and efficiency. Thank you STE!”

OUR SERVICES

stecorporation - accounting icon

Accounting

  • Statuary Accounts
  • Management Accounts
  • Bookkeeping
  • Business Plan
stecorporation - tax icon

Tax

  • Tax Investigation
  • Capitol Gains Tax
  • Tax Advisory
  • Corporation Tax

STECorporation consultation

Consulting

  • Registered Office Address
  • Company Formation
  • Company Secretarial
  • Legal Helpline

QuickBooks/ Bookkeeping Services

All of the financial information and data for your business should be organized and in one place so it is easy to access.  With our bookkeeping services, we will organize and manage your financial information within the QuickBooks software so you can easily access it at any time.  While we manage your financial matters on a daily and monthly basis, you will be in control as we will keep you updated and ensure you can access and monitor your finances.  If you are applying for a loan, doing your taxes, or budgeting, having quick access to your financial information is important.  We can assist large businesses and provide small business bookkeeping.

Advisory Services

Our accountants can take on an advisory role with your company through our business consulting services.  We will work with you to understand your financial goals and help you make the right decisions to reach your goals and help your business grow and become more profitable.  Our business advisory services include advisement for investments, taxes, payroll, bookkeeping, administration, and more.

Estate Planning

It is important to manage your estate to help protect its value and ensure that your assets are distributed properly between your beneficiaries.  Our accountants can assist with your estate planning, including managing the taxes to preserve its value and ensuring that your assets are distributed according to your wishes.  Our estate accountants will identify ways to protect your estate from inflation and taxes and minimize what you are paying in taxes to maximize its value.

Sales Tax / Nexus

Sales tax rates and laws are decided locally and differ between states and cities.  This can make sales and use tax difficult to manage for businesses, especially those that operate in multiple cities and states.  Our certified public accountants can help manage your sales and use taxes by ensuring that you are in compliance with applicable sales tax laws and identifying opportunities for refunds and exemptions.  We have a thorough knowledge of sales tax laws and we can even help businesses that operate in multiple states with filing their taxes.  Using Nexus tax analysis, we can help multi-state businesses stay in compliance with all applicable tax laws.

Payroll Services

We provide payroll services to small businesses and international businesses that operate in the U.S.  Our accountants will streamline your payroll process and manage the tax withholdings and benefit deductions from employee paychecks.  We can also file the tax returns for your business that account for the tax withholdings.

Call the CPAs of STE Corporation

Contact our CPA firm if you want to work with our accountants to help manage the finances for your business in Park Ridge, IL.  You can call STE Corporation at (815) 836-0100 to talk to our professionals or schedule a free consultation.