<prompt> Human: Today I got my 2016 bonus notification and then saw my bank deposit information. It was taxed at 44. Can anyone tell me why that rule is in place? What is the logic of taxing bonuses?Assistant: Bonuses are ordinary income, and may be withheld at a supplemental rate. Human: Thanks! But whats the theory behind supplemental income? Why tax higher?  <response>: They arent taxed higher. Theyre withheld higher. Theyre taxed just like ordinary income. 