# Federal Travel Regulation; Relocation Income Tax (RIT) Allowance Tax Tables—2007 Update
**AGENCY:**
Office of Governmentwide Policy, GSA.
**ACTION:**
Final rule.
**SUMMARY:**
This rule updates the Federal, State, and Puerto Rico tax tables for calculating the relocation income tax (RIT) allowance, 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 use in calculating the 2007 RIT allowance to be paid to relocating Federal employees.
**DATES:**
*Effective Date:* This final rule is effective April 9, 2007.
*Applicability date:* This final rule provides tax information for filing 2006 Federal and State income taxes.
**FOR FURTHER INFORMATION CONTACT:**
The Regulatory Secretariat (VIR), Room 4035, GSA Building, Washington, DC 20405, telephone (202) 501-4755, for information pertaining to status or publication schedules. For clarification of content, contact Ed Davis, Office of Governmentwide Policy, Travel Management Policy (MTT), Washington, DC 20405, telephone (202) 208-7638. Please cite FTR Amendment 2007-02, FTR case 2007-302.
**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 the RIT allowance are contained in the Federal Travel Regulation (41 CFR part 302-17). GSA updates Federal, State, and Puerto Rico tax tables for calculating RIT allowance payments yearly to reflect changes in Federal, State, and Puerto Rico income tax brackets and rates.
This amendment also provides a tax table necessary to compute the RIT allowance for employees who received reimbursement for relocation expenses in 2006.
**B. Executive Order 12866**
This regulation is excepted from the definition of “regulation” or “rule” under Section 3(d)(3) of Executive Order 12866, Regulatory Planning and Review, dated September 30, 1993 and, therefore, was not subject to review under Section 6(b) of that Executive Order.
**C. Regulatory Flexibility Act**
This final rule is not required to be published in the *Federal Register* for notice and comment as per the exemption specified in 5 U.S.C. 553(a)(2); 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 this final rule does 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 Part 302-17**
Government employees, Income taxes, Relocation allowances and entitlements, Transfers, Travel and transportation expenses.
Dated: March 23, 2007.
Lurita Doan,
Administrator of General Services.
**41 CFR Part 302-17**
For the reasons set forth in the preamble, under 5 U.S.C. 5738, GSA amends 41 CFR 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 Appendices A, B, C, and D to part 302-17 to read as follows:
**Appendix A to Part 302-17—Federal Tax Tables for RIT Allowance**
| Marginal tax rate | Percent | Single taxpayer | Over | But not over | Head of household | Over | But not over | Married filing jointly/qualifying widows & widowers | Over | But not over | Married filing separately | Over | But not over |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 10 | $8,739 | $16,560 | $16,538 | $27,374 | $24,163 | $38,534 | $12,036 | $19,194 | | | | | |
| 15 | 16,560 | 41,041 | 27,374 | 59,526 | 38,534 | 86,182 | 19,194 | 43,330 | | | | | |
| 25 | 41,041 | 88,541 | 59,526 | 128,605 | 86,182 | 154,786 | 43,330 | 79,441 | | | | | |
| 28 | 88,541 | 175,222 | 128,605 | 203,511 | 154,786 | 224,818 | 79,441 | 114,716 | | | | | |
| 33 | 175,222 | 360,212 | 203,511 | 375,305 | 224,818 | 374,173 | 114,716 | 188,184 | | | | | |
| 35 | 360,212 | | 375,305 | | 374,173 | | 188,184 | | | | | | |
**Appendix B to Part 302-17—State Tax Tables for RIT Allowance**
| Marginal tax rates (
) for the earned income amounts specified in each column. | State (or District) | $20,000-$24,999 | $25,000-$49,999 | $50,000-$74,999 | $75,000 & over |
| --- | --- | --- | --- | --- | --- |
| Alabama | 5.00 | 5.00 | 5.00 | 5.00 | |
| Alaska | 0.00 | 0.00 | 0.00 | 0.00 | |
| Arizona | 3.04 | 3.04 | 3.55 | 3.55 | |
| If single status, married filing separately | 3.04 | 3.55 | 4.48 | 4.48 | |
| Arkansas | 6.00 | 7.00 | 7.00 | 7.00 | |
| California | 2.00 | 6.00 | 9.30 | 9.30 | |
| If single status, married filing separately | 6.00 | 8.00 | 9.30 | 9.30 | |
| Colorado | 4.63 | 4.63 | 4.63 | 4.63 | |
| Connecticut | 5.00 | 5.00 | 5.00 | 5.00 | |
| Delaware | 5.20 | 5.55 | 5.95 | 5.95 | |
| District of Columbia | 7.00 | 7.00 | 8.70 | 8.70 | |
| Florida | 0.00 | 0.00 | 0.00 | 0.00 | |
| Georgia | 6.00 | 6.00 | 6.00 | 6.00 | |
| Hawaii | 6.40 | 7.60 | 7.90 | 8.25 | |
| If single status, married filing separately | 7.60 | 7.90 | 8.25 | 8.25 | |
| Idaho | 7.40 | 7.80 | 7.80 | 7.80 | |
| If single status, married filing separately | 7.80 | 7.80 | 7.80 | 7.80 | |
| Illinois | 3.00 | 3.00 | 3.00 | 3.00 | |
| Indiana | 3.40 | 3.40 | 3.40 | 3.40 | |
| Iowa | 6.48 | 7.92 | 8.98 | 8.98 | |
| Kansas | 6.25 | 6.45 | 6.45 | 6.45 | |
| Kentucky | 5.80 | 5.80 | 5.80 | 6.00 | |
| Louisiana | 2.00 | 4.00 | 6.00 | 6.00 | |
| If single status, married filing separately | 4.00 | 6.00 | 6.00 | 6.00 | |
| Maine | 7.00 | 8.50 | 8.50 | 8.50 | |
| If single status, married filing separately | 8.50 | 8.50 | 8.50 | 8.50 | |
| Maryland | 4.75 | 4.75 | 4.75 | 4.75 | |
| Massachusetts | 5.30 | 5.30 | 5.30 | 5.30 | |
| Michigan | 3.90 | 3.90 | 3.90 | 3.90 | |
| Minnesota | 5.35 | 7.05 | 7.05 | 7.05 | |
| If single status, married filing separately | 7.05 | 7.05 | 7.85 | 7.85 | |
| Mississippi | 5.00 | 5.00 | 5.00 | 5.00 | |
| Missouri | 6.00 | 6.00 | 6.00 | 6.00 | |
| Montana | 6.90 | 6.90 | 6.90 | 6.90 | |
| Nebraska | 3.57 | 6.84 | 6.84 | 6.84 | |
| If single status, married filing separately | 5.12 | 6.84 | 6.84 | 6.84 | |
| Nevada | 0.00 | 0.00 | 0.00 | 0.00 | |
| New Hampshire | 0.00 | 0.00 | 0.00 | 0.00 | |
| New Jersey | 1.75 | 1.75 | 3.50 | 5.525 | |
| If single status, married filing separately | 1.75 | 5.525 | 5.525 | 6.370 | |
| New Mexico | 5.30 | 5.30 | 5.30 | 5.30 | |
| New York | 5.25 | 6.85 | 6.85 | 6.85 | |
| If single status, married filing separately | 6.85 | 6.85 | 6.85 | 6.85 | |
| North Carolina | 7.00 | 7.00 | 7.00 | 7.00 | |
| If single status, married filing separately | 7.00 | 7.00 | 7.75 | 7.75 | |
| North Dakota | 2.10 | 2.10 | 3.92 | 3.92 | |
| If single status, married filing separately | 2.10 | 3.92 | 4.34 | 4.34 | |
| Ohio | 4.083 | 4.083 | 4.764 | 5.444 | |
| Oklahoma | 6.25 | 6.25 | 6.25 | 6.25 | |
| Oregon | 9.00 | 9.00 | 9.00 | 9.00 | |
| Pennsylvania | 3.07 | 3.07 | 3.07 | 3.07 | |
| Rhode Island | 3.75 | 7.00 | 7.00 | 7.00 | |
| If single status, married filing separately | 3.75 | 7.00 | 7.00 | 7.75 | |
| South Carolina | 7.00 | 7.00 | 7.00 | 7.00 | |
| South Dakota | 0.00 | 0.00 | 0.00 | 0.00 | |
| Tennessee | 0.00 | 0.00 | 0.00 | 0.00 | |
| Texas | 0.00 | 0.00 | 0.00 | 0.00 | |
| Utah | 6.98 | 6.98 | 6.98 | 6.98 | |
| Vermont | 3.60 | 3.60 | 7.20 | 7.20 | |
| If single status, married filing separately | 3.60 | 7.20 | 8.50 | 8.50 | |
| Virginia | 5.75 | 5.75 | 5.75 | 5.75 | |
| Washington | 0.00 | 0.00 | 0.00 | 0.00 | |
| West Virginia | 4.00 | 6.00 | 6.50 | 6.50 | |
| Wisconsin | 6.50 | 6.50 | 6.50 | 6.50 | |
| Wyoming | 0.00 | 0.00 | 0.00 | 0.00 | |
**Appendix C to Part 302-17—Federal Tax Tables for RIT Allowance—Year 2**
| Marginal tax rate | Percent | Single taxpayer | Over | But not over | Head of household | Over | But not over | Married filing jointly/qualifying widows & widowers | Over | But not over | Married filing separately | Over | But not over |
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 10 | $9,287 | $17,545 | $18,060 | $29,399 | $26,173 | $41,393 | $14,049 | $21,441 | | | | | |
| 15 | 17,545 | 43,394 | 29,399 | 62,576 | 41,393 | 91,201 | 21,441 | 45,388 | | | | | |
| 25 | 43,394 | 93,101 | 62,576 | 138,856 | 91,201 | 162,117 | 45,388 | 81,616 | | | | | |
| 28 | 93,101 | 183,867 | 138,856 | 216,022 | 162,117 | 233,656 | 81,616 | 119,660 | | | | | |
| 33 | 183,867 | 376,616 | 216,022 | 389,045 | 233,656 | 387,765 | 119,660 | 197,483 | | | | | |
| 35 | 376,616 | | 389,045 | | 387,765 | | 197,483 | | | | | | |
**Appendix D to Part 302-17—Puerto Rico Tax Tables for RIT Allowance**
| Marginal tax rate | For married person living with spouse and filing jointly, married person not living with spouse, single person, or head of household | Over | But not over | For married person living with spouse and filing separately | Over | But not over |
| --- | --- | --- | --- | --- | --- | --- |
| 10 | $2,000 | $17,000 | $1,000 | $8,500 | | |
| 15 | 17,000 | 30,000 | 8,500 | 15,000 | | |
| 28 | 30,000 | 50,000 | 15,000 | 25,000 | | |
| 33 | 50,000 | | 25,000 | | | |