GOP tax plan's top rate of 37% said to hit earners at $600,000

Last-minute changes to the Republican tax bill contain an unpleasant surprise for married couples who make between $600,000 and $1 million: They won’t be getting as big a tax cut as lawmakers planned earlier.

The final bill would include those households in the highest individual income-tax bracket, which would pay a marginal rate of 37 percent, according to a summary of the bill’s changes obtained by Bloomberg News, as well as a person familiar with the bill’s contents.

Here are the brackets, as confirmed by that person, who asked not to be named because the details haven’t been publicly released:

For joint filers:

10 percent: $0 to $19,050
12 percent: $19,050 to $77,400
22 percent: $77,400 to $165,000
24 percent: $165,000 to $315,000
32 percent: $315,000 to $400,000
35 percent: $400,000 to $600,000
37 percent: $600,000 and above

For single filers:

10 percent: $0 to $9,525
12 percent: $9,525 to $38,700
22 percent: $38,700 to $82,500
24 percent: $82,500 to $157,500
32 percent: $157,500 to $200,000
35 percent: $200,000 to $500,000
37 percent: $500,000 and above

In earlier versions, both House and Senate bills would have included households with income between $600,000 and $1 million in a 35 percent tax bracket.

Still, the final legislation would provide a cut for those households relative to current law—they currently face a top rate of 39.6 percent.

Meanwhile, couples earning more than $1 million would do far better—their top rate would move down to 37 percent from 38.5 percent in the Senate’s version and 39.6 percent in the House’s.

The new individual rates and brackets would be set to expire at the end of 2025, unless a future Congress chooses to extend them.

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