Investment Tax
Interest Income Tax Calculator
Calculate taxes on interest income from savings, bonds, CDs, and other interest-bearing accounts.
Interest Income Details
Total Interest Income
$
Total annual interest from all sources (savings, bonds, CDs, etc.)
Interest Type
Ordinary interest is taxable at your regular rate; tax-free (e.g., municipal bonds) is exempt
Tax Information
Your Tax Bracket
%
Your marginal tax rate (federal + state)
Net Investment Income Tax (NIIT)
%
Additional tax on investment income (US: 3.8% for high earners)
State Tax Rate
%
State income tax rate on interest income
Deduction Eligibility
%
Percentage of interest income eligible for deductions (e.g., investment interest deduction)
Tax
0%
Total Tax on Interest
$0
tax owed on interest income
Taxable Interest Income
$0
Regular Tax
$0
NIIT Tax
$0
Effective Tax Rate
0%
📊 Detailed Breakdown
| Category | Amount | % of Interest |
|---|
How the formula works
Taxable Interest = Interest Income − (Interest Income × Deduction Eligibility %) | Total Tax = Taxable Interest × (Tax Bracket + State Tax + NIIT)
- Taxable Interest Income = Total Interest Income − Deductions
- Regular Tax = Taxable Interest × (Tax Bracket / 100)
- State Tax = Taxable Interest × (State Tax Rate / 100)
- NIIT Tax = Taxable Interest × (NIIT Rate / 100) (if applicable)
- Total Tax = Regular Tax + State Tax + NIIT Tax
- Effective Tax Rate = (Total Tax ÷ Total Interest Income) × 100
- Tax-Free interest (municipal bonds) is excluded from taxable income