70 FR 49 pgs. 12598-12600 - Federal Travel Regulation; Relocation Income Tax (RIT) Allowance Tax Tables—2005 Update
Type: RULEVolume: 70Number: 49Pages: 12598 - 12600
Docket number: [FTR Amendment 2005-02; FTR Case 2005-302]
FR document: [FR Doc. 05-5000 Filed 3-14-05; 8:45 am]
Agency: General Services Administration
Official PDF Version: PDF Version
GENERAL SERVICES ADMINISTRATION
41 CFR Part 302-17
[FTR Amendment 2005-02; FTR Case 2005-302]
RIN 3090-AI05
Federal Travel Regulation; Relocation Income Tax (RIT) Allowance Tax Tables-2005 Update
AGENCY:
Office of Governmentwide Policy, (GSA).
ACTION:
Final rule.
SUMMARY:
The Federal, State, and Puerto Rico tax tables for calculating the relocation income tax (RIT) allowance must be updated yearly to reflect changes in Federal, State, and Puerto Rico income tax brackets and rates. The Federal, State, and Puerto Rico tax tables contained in this rule are for calculating the 2005 RIT allowance to be paid to relocating Federal employees.
DATES:
Effective Date: January 1, 2005.
FOR FURTHER INFORMATION CONTACT:
The Regulatory Secretariat (VIR), Room 4035, GS Building, Washington, DC 20405, (202) 208-7312, for information pertaining to status or publication schedules. For clarification of content, contact Ms. Sallie Sherertz, Office of Governmentwide Policy, Travel Management Policy Division, at (202) 219-3455. Please cite FTR Amendment 2005-02, FTR case 2005-302.
SUPPLEMENTARY INFORMATION:
A. Background
Section 5724b of title 5, United States Code, provides for reimbursement of substantially all Federal, State, and local income taxes incurred by a transferred Federal employee on taxable moving expense reimbursements. Policies and procedures for the calculation and payment of a RIT allowance are contained in FTR Part 302-17. The Federal, State, and Puerto Rico tax tables for calculating RIT allowance payments are updated yearly to reflect changes in Federal, State, and Puerto Rico income tax brackets and rates.
This amendment provides the tax tables necessary to compute the relocation income tax (RIT) allowance for employees who are taxed in 2004 on moving expense reimbursements.
B. Executive Order 12866
This is not a significant regulatory action and, therefore, was not subject to review under section 6(b) of Executive Order 12866, Regulatory Planning and Review, dated September 30, 1993. This rule is not a major rule under 5 U.S.C. 804.
C. Regulatory Flexibility Act
This final rule is not required to be published in the Federal Register for notice and comment; therefore, the Regulatory Flexibility Act, 5 U.S.C. 601, et seq., does not apply.
D. Paperwork Reduction Act
The Paperwork Reduction Act does not apply because the changes to the FTR do not impose recordkeeping or information collection requirements, or the collection of information from offerors, contractors, or members of the public that require the approval of the Office of Management and Budget under 44 U.S.C. 3501, et seq.
E. Small Business Regulatory Enforcement Fairness Act
This final rule is also exempt from congressional review prescribed under 5 U.S.C. 801 since it relates solely to agency management and personnel.
List of Subjects in 41 CFR Chapter 302, Part 302-17
Government employees, Income taxes, Relocation allowances and entitlements, Transfers, Travel and transportation expenses.
Dated: March 1, 2005.
Stephen A. Perry,
Administrator of General Services.
For the reasons set forth in the preamble, under 5 U.S.C. 5701-5709, GSA amends 41 CFR chapter 302, part 302-17 as set forth below:
PART 302-17_RELOCATION INCOME TAX (RIT) ALLOWANCE
1. The authority citation for 41 CFR part 302-17 continues to read as follows:
Authority:
5 U.S.C. 5738; 20 U.S.C. 905(a); E.O. 11609, 36 FR 13747, 3 CFR, 1971-1975 Comp., p. 586.
2. Revise Appendixes A, B, and C to part 302-17 to read as follows:
| Marginal tax rate percent | Single taxpayer | Over | But not over | Head of household | Over | But not over | Married filing jointly | Over | But not over | Married filing separately | Over | But not 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 | ||||
| 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 |
| Marginal tax rates (stated in percents) for the earned income amounts specified in each column. 1 2 | State (or district) | $20,000-$24,999 | $25,000-$49,999 | $50,000-$74,999 | $75,000 Over3 |
|---|---|---|---|---|---|
| Alabama | 5 | 5 | 5 | 5 | |
| Alaska | 0 | 0 | 0 | 0 | |
| Arizona | 3.20 | 3.20 | 3.74 | 3.74 | |
| If single status4 | 3.20 | 3.74 | 4.72 | 4.72 | |
| Arkansas | 6 | 7 | 7 | 7 | |
| California | 2 | 4 | 6 | 9.3 | |
| If single status4 | 4 | 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 | 7.2 | 7.6 | 8.25 | |
| If single status4 | 7.6 | 7.9 | 8.25 | 8.25 | |
| Idaho | 7.4 | 7.4 | 7.8 | 7.8 | |
| If single status4 | 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 status4 | 6.25 | 6.45 | 6.45 | 6.45 | |
| Kentucky | 6 | 6 | 6 | 6 | |
| Louisiana | 4 | 4 | 6 | 6 | |
| If single status4 | 4 | 6 | 6 | 6 | |
| Maine | 7 | 8.5 | 8.5 | 8.5 | |
| If single status4 | 8.5 | 8.5 | 8.5 | 8.5 | |
| Maryland | 4.75 | 4.75 | 4.75 | 4.75 | |
| Massachusetts | 5.3 | 5.3 | 5.3 | 5.3 | |
| Michigan | 3.9 | 3.9 | 3.9 | 3.9 | |
| Minnesota | 5.35 | 7.05 | 7.05 | 7.05 | |
| If single status4 | 7.05 | 7.05 | 7.85 | 7.85 | |
| Mississippi | 5 | 5 | 5 | 5 | |
| Missouri | 6 | 6 | 6 | 6 | |
| Montana | 8 | 9 | 10 | 11 | |
| Nebraska | 3.57 | 5.12 | 6.84 | 6.84 | |
| If single status4 | 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 | 5.525 | |
| If single status4 | 1.75 | 3.5 | 5.525 | 6.37 | |
| New Mexico | 4.7 | 6 | 6.8 | 6.8 | |
| If single status4 | 6 | 6.8 | 6.8 | 6.8 | |
| New York | 5.25 | 5.9 | 6.85 | 6.85 | |
| If single status4 | 6.85 | 6.85 | 6.85 | 6.85 | |
| North Carolina | 7 | 7 | 7 | 7 | |
| If single status4 | 7 | 7 | 7.75 | 7.75 | |
| North Dakota | 2.1 | 2.1 | 3.92 | 3.92 | |
| If single status4 | 2.1 | 3.92 | 3.92 | 4.34 | |
| Ohio | 4.457 | 4.457 | 5.201 | 5.943 | |
| Oklahoma | 6.65 | 6.65 | 6.65 | 6.65 | |
| Oregon | 9 | 9 | 9 | 9 | |
| Pennsylvania | 3.07 | 3.07 | 3.07 | 3.07 | |
| Rhode Island5 | 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 | 3.6 | 3.6 | 7.2 | 7.20 | |
| If single status4 | 3.6 | 7.2 | 8.5 | 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 | |
| (The above table headings established by IRS.) | |||||
| 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 § 302-17.8(e)(2)(ii). | |||||
| 3 This is an estimate. For earnings over $100,000, and for filing statuses other than those above, please consult actual tax tables. (See 2005 State Tax Handbook, CCH, Inc.) | |||||
| 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. | |||||
| 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 § 302-17.8(e)(2)(iii). | |||||
| Marginal tax rate percent | Single taxpayer | Over | But not over | Head of household | Over | But not over | Married filing jointly | Over | But not over | Married filing separately | Over | But not over |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 10 | $8,712 | $16,201 | $15,989 | $26,630 | $23,519 | $37,568 | $10,897 | $18,242 | ||||
| 15 | 16,201 | 39,898 | 26,630 | 58,079 | 37,568 | 84,110 | 18,242 | 42,410 | ||||
| 25 | 39,898 | 85,748 | 58,079 | 125,252 | 84,110 | 150,301 | 42,410 | 76,165 | ||||
| 28 | 85,748 | 169,230 | 125,252 | 195,589 | 150,301 | 216,710 | 76,165 | 109,970 | ||||
| 33 | 169,230 | 348,318 | 195,589 | 360,009 | 216,710 | 360,571 | 109,970 | 182,419 | ||||
| 35 | 348,318 | 360,009 | 360,571 | 182,419 |
Appendix D to Part 302-17-[Amended]
3. Amend the heading of Appendix D to part 302-17 by removing "2003" and adding "2004" in its place.
[FR Doc. 05-5000 Filed 3-14-05; 8:45 am]
BILLING CODE 6820-14-P