2018-2025 Federal corporation income tax rates

Other corporate tax changes made by TCJA:

• A corporation’s capital gains are taxable at the flat corporate rate above.

• There is no longer a separate tax rate for Qualified personal service corporation taxable income.

• The prior 70% dividends received deduction is reduced to 50%. The prior 80% dividends received deduction is reduced to 65%.

NOTE: The Tax Cuts and Jobs Act (TCJA or H.R.1) was signed into law by President Trump on December 22, 2017.

For all corporate tax years beginning after 2017 TCJT  made the change to a flat corporate tax rate of 21 % effective for tax years 2018 through 2025.