Question
2018 Individual Tax Rates Single Individuals If Your Taxable Income Is You Pay This Amount on the Base of the Bracket Plus This Percentage on
2018 Individual Tax Rates | |||||
Single Individuals | |||||
If Your Taxable Income Is | You Pay This Amount on the Base of the Bracket | Plus This Percentage on the Excess over the Base (Marginal Rate) | Average Tax Rate at Top of Bracket | ||
Up to $9,525 | $0 | 10.0 | % | 10.0 | % |
$9,525 - $38,700 | 952.50 | 12.0 | 11.5 | ||
$38,700 - $82,500 | 4,453.50 | 22.0 | 17.1 | ||
$82,500 - $157,500 | 14,089.50 | 24.0 | 20.4 | ||
$157,500 - $200,000 | 32,089.50 | 32.0 | 22.8 | ||
$200,000 - $500,000 | 45,689.50 | 35.0 | 30.1 | ||
Over $500,000 | 150,689.50 | 37.0 | 37.0 |
Standard deduction for individual: $12,000
Married Couples Filing Joint Returns | |||||
If Your Taxable Income Is | You Pay This Amount on the Base of the Bracket | Plus This Percentage on the Excess over the Base (Marginal Rate) | Average Tax Rate at Top of Bracket | ||
Up to $19,050 | $0 | 10.0 | % | 10.0 | % |
$19,050 - $77,400 | 1,905.00 | 12.0 | 11.5 | ||
$77,400 - $165,000 | 8,907.00 | 22.0 | 17.1 | ||
$165,000 - $315,000 | 28,179.00 | 24.0 | 20.4 | ||
$315,000 - $400,000 | 64,179.00 | 32.0 | 22.8 | ||
$400,000 - $600,000 | 91,379.00 | 35.0 | 26.9 | ||
Over $600,000 | 161,379.00 | 37.0 | 37.0 |
Standard deduction for married couples filing jointly: $24,000
Quantitative Problem: Jenna is a single taxpayer. During 2018, she earned wages of $116,000. She doesn't itemize deductions, so she will take the standard deduction to calculate 2018 taxable income. In addition, during the year she sold common stock that she had owned for five years for a net profit of $4,800. How much does Jenna owe to the IRS for taxes? Do not round intermediate calculations. Round your answer to the nearest cent.
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Corporate
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