[Code of Federal Regulations] [Title 41, Volume 4] [Revised as of July 1, 2004] From the U.S. Government Printing Office via GPO Access [CITE: 41CFR302-17.13] [Page 217-220] TITLE 41--PUBLIC CONTRACTS AND PROPERTY MANAGEMENT CHAPTER 302--RELOCATION ALLOWANCES PART 302-17_RELOCATION INCOME TAX (RIT) ALLOWANCE--Table of Contents Sec. 302-17.13 Source references. The following references or publications have been used as source material for this part. [[Page 218]] (a) Internal Revenue Code (IRC), section 164(a)(3) (26 U.S.C. 164(a)(3)) pertaining to the deductibility of State and local income taxes, and section 217 (26 U.S.C. 217), pertaining to moving expenses. (b) Internal Revenue Service Publication 521, ``Moving Expenses.'' (c) Internal Revenue Service, Circular E, ``Employer's Tax Guide.'' (d) Department of the Treasury Financial Manual, TFM 3-5000. (e) 31 CFR 215.2 (5 U.S.C. 5516, 5517, and 5520). Appendix A to Part 302-17--Federal Tax Tables for RIT Allowance Federal Marginal Tax Rates by Earned Income Level and Filing Status--Tax Year 2003 The following table is to be used to determine the Federal marginal tax rate for Year 1 for computation of the RIT allowance as prescribed in Sec. 302-17.8(e)(1). This table is to be used for employees whose Year 1 occurred during calendar year 2003. -------------------------------------------------------------------------------------------------------------------------------------------------------- Marginal tax rate Single taxpayer Heads of household Married filing Married filing ------------------------------------------------------------------------------------------------------------- jointly/qualifying separately widows & widowers --------------------- But not But not ---------------------- Percent Over over Over over But not Over But not Over over over -------------------------------------------------------------------------------------------------------------------------------------------------------- 10.............................................................. $8,274 $14,314 $15,005 $25,136 $20,977 $32,559 $10,958 $16,536 15.............................................................. 14,314 37,771 25,136 54,712 32,559 69,722 16,536 34,507 27.............................................................. 37,771 81,890 54,712 122,788 69,722 142,842 34,507 70,442 30.............................................................. 81,890 162,802 122,788 193,703 142,842 206,675 70,442 107,631 35.............................................................. 162,802 334,763 193,703 350,138 206,675 343,919 107,631 181,753 38.6............................................................ 334,763 ......... 350,138 ......... 343,919 ......... 181,753 ......... -------------------------------------------------------------------------------------------------------------------------------------------------------- [FTR Amdt. 2004-01, 69 FR 12079, Mar. 15, 2004] Appendix B to Part 302-17--State Tax Tables For RIT Allowance State Marginal Tax Rates by Earned Income Level--Tax Year 2003 The following table is to be used to determine the State marginal tax rates for calculation of the RIT allowance as prescribed in Sec. 302-17.8(e)(2). This table is to be used for employees who received covered taxable reimbursements during calendar year 2003. Marginal Tax Rates (Stated in Percents) For the Earned Income Amounts Specified in Each Column.\1,2\ ---------------------------------------------------------------------------------------------------------------- \3\ $75,000 State (or district) $20,000-$24,999 $25,000-$49,999 $50,000-$74,999 & over ---------------------------------------------------------------------------------------------------------------- Alabama........................................ 5 5 5 5 Alaska......................................... 0 0 0 0 Arizona........................................ 3.20 3.74 4.72 5.04 Arkansas....................................... 6 7 7 7 California..................................... 2 4 8 9.3 If single status \4\........................... 6 8 9.3 9.3 Colorado....................................... 4.63 4.63 4.63 4.63 Connecticut.................................... 5 5 5 5 Delaware....................................... 5.2 5.55 5.95 5.95 District of Columbia........................... 7.5 9.3 9.3 9.3 Florida........................................ 0 0 0 0 Georgia........................................ 6 6 6 6 Hawaii......................................... 6.4 7.6 8.25 8.25 If single status \4\........................... 7.6 8.25 8.25 8.25 Idaho.......................................... 7.4 7.8 7.8 7.8 Illinois....................................... 3 3 3 3 Indiana........................................ 3.4 3.4 3.4 3.4 Iowa........................................... 6.48 7.92 8.98 8.98 Kansas......................................... 3.5 6.25 6.45 6.45 If single status \4\........................... 6.25 6.45 6.45 6.45 Kentucky....................................... 6 6 6 6 Louisiana...................................... 4 6 6 6 Maine.......................................... 7 8.5 8.5 8.5 If single status \4\........................... 8.5 8.5 8.5 8.5 Maryland....................................... 4 4 4 4 [[Page 219]] Massachusetts.................................. 5.3 5.3 5.3 5.3 Michigan....................................... 4 4 4 4 Minnesota...................................... 5.35 7.05 7.05 7.05 If single status \4\........................... 7.05 7.05 7.85 7.85 Mississippi.................................... 5 5 5 5 Missouri....................................... 6 6 6 6 Montana........................................ 7 9 10 10 Nebraska....................................... 3.57 5.12 6.84 6.84 If single status \4\........................... 5.12 6.84 6.84 6.84 Nevada......................................... 0 0 0 0 New Hampshire.................................. 0 0 0 0 New Jersey..................................... 1.75 1.75 2.45 3.5 If single status \4\........................... 1.75 3.5 5.525 6.37 New Mexico..................................... 4.7 6 7.1 7.7 If single status \4\........................... 6 7.1 7.7 7.7 New York....................................... 5.25 5.9 6.85 6.85 If single status \4\........................... 6.85 6.85 6.85 6.85 North Carolina................................. 7 7 7 7 North Dakota................................... 2.1 2.1 3.92 3.92 If single status \4\........................... 2.1 2.1 3.92 4.34 Ohio........................................... 4.457 4.457 5.201 5.201 Oklahoma....................................... 7 7 7 7 Oregon......................................... 9 9 9 9 Pennsylvania................................... 2.8 2.8 2.8 2.8 Rhode Island \5\............................... 25 25 25 25 South Carolina................................. 7 7 7 7 South Dakota................................... 0 0 0 0 Tennessee...................................... 0 0 0 0 Texas.......................................... 0 0 0 0 Utah........................................... 7 7 7 7 Vermont \6\.................................... 3.6 3.6 7.2 8.5 If single status \4\........................... 3.6 7.2 7.2 8.5 Virginia....................................... 5.75 5.75 5.75 5.75 Washington..................................... 0 0 0 0 West Virginia.................................. 4 4.5 6 6.5 Wisconsin...................................... 6.5 6.5 6.5 6.5 Wyoming........................................ 0 0 0 0 ---------------------------------------------------------------------------------------------------------------- \1\ Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should be rounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance. \2\ If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establish an appropriate marginal tax rate as provided in Sec. 302-17.8(e)(2)(ii). \3\ This is an estimate. For earnings over $100,000, please consult actual tax tables. \4\ This rate applies only to those individuals certifying that they will file under a single status within the States where they will pay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown. \5\ The income tax rate for Rhode Island is 25 percent of Federal income tax liability for all employees. Rates shown as a percent of Federal income tax liability must be converted to a percent of income as provided in Sec. 302-17.8(e)(2)(iii). \6\ The income tax rate for Vermont is 24 percent of Federal income tax liability for all employees. Rates shown as a percent of Federal income tax liability must be converted to a percent of income as provided in Sec. 302-17.8(e)(2)(iii). [FTR Amdt. 2004-01, 69 FR 12079, Mar. 15, 2004] Appendix C to Part 302-17--Federal Tax Tables for RIT Allowance--Year 2 Federal Marginal Tax Rates by Earned Income Level and Filing Status--Tax Year 2004 The following table is to be used to determine the Federal marginal tax rate for Year 2 for computation of the RIT allowance as prescribed in Sec. 302-17.8(e)(1). This table is to be used for employees whose Year 1 occurred during calendar years 1994, 1995, 1996, 1997, 1998, 1999, 2000, 2001, 2002, or 2003. -------------------------------------------------------------------------------------------------------------------------------------------------------- Marginal tax rate Single taxpayer Heads of household Married filing Married filing ------------------------------------------------------------------------------------------------------------- jointly/qualifying separately widows & widowers --------------------- But not But not ---------------------- Percent Over over Over over But not Over But not Over over over -------------------------------------------------------------------------------------------------------------------------------------------------------- 10.............................................................. $8,486 $15,852 $15,539 $25,991 $22,763 $36,688 $10,614 $17,891 15.............................................................. 15,852 39,093 25,991 56,668 36,688 82,625 17,891 41,386 25.............................................................. 39,093 84,081 56,668 123,629 82,625 147,439 41,386 74,492 28.............................................................. 84,081 166,123 123,629 193,801 147,439 212,158 74,492 108,134 [[Page 220]] 33.............................................................. 166,123 341,553 193,801 354,536 212,158 352,775 108,134 179,237 35.............................................................. 341,553 ......... 354,536 ......... 352,775 ......... 179,237 ......... -------------------------------------------------------------------------------------------------------------------------------------------------------- [FTR Amdt. 2004-01, 69 FR 12079, Mar. 15, 2004] Appendix D to Part 302-17--Puerto Rico Tax Tables for RIT Allowance Puerto Rico Marginal Tax Rates by Earned Income Level--Tax Year 2003 The following table is to be used to determine the Puerto Rico marginal tax rate for computation of the RIT allowance as prescribed in Sec. 302-17.8(e)(4)(i). ---------------------------------------------------------------------------------------------------------------- Marginal tax rate Single filing status Any other filing status ---------------------------------------------------------------------------------------------------------------- But not But not Percent Over over Over over ---------------------------------------------------------------------------------------------------------------- 10.......................................................... ........... ........... ........... $25,000 15.......................................................... ........... $25,000 ........... ........... 28.......................................................... $25,000 50,000 $25,000 50,000 33.......................................................... 50,000 ........... $50,000 ........... ---------------------------------------------------------------------------------------------------------------- [FTR Amdt. 2003-01, 68 FR 7942, Feb. 19, 2003, as amended by FTR Amdt. 2004-01, 69 FR 12081, Mar. 15, 2004] [[Page 221]]