4. Taxes paid for a given income level Bob is getting ready to do his taxes. He is single and lives in Chicago. Bob earned $95,000 in 2020 . He reviews the following table, which shows the IRS tax rates for a single taxpayer in 2020. Based on the IRS table, Bob calculates that his marginal tax rate is when his annual income is $95,000. Bob calculates that he owes approximately in income taxes for 2020 . Bob then calculates that his average tax rate is approximately , based on the annual income level and the amount of taxes he owes for 2020. After figuring out what he owes in taxes in 2020 , Bob decides to ask an accountant for tax advice. The accountant claims that he has found a legal way to shelter $3,000 of taxable income from the federal government. The maximum amount that Bob is willing to pay to learn this strategy and reduce his taxable income by $3,000 is (Hint: Sheltering some income means finding a legal way to avoid being charged income tax on that income. For example, someone who has $50,000 in income and shelters $10,000 pays income tax on only $40,000.)