585,525 $163,300 24% $ 163,300 $207,350 32% $207,350 $518,400 35% 5518,400 37% Congress has debated adding an additional bracket to the existing system, taxing at 70% the portion of income over $10 million. If implemented, this proposal would result in a structure that looks like this Part of your tax taxable but less rate on income than this more portion than SO 59,875 10% 59,875 $40,125 12% $40,125 585,525 22% 585,525 5163,300 24% 5163,300 $207,350 32% 5207,350 $518,400 35% $10 $518.400 million 37% 510 70% million Suppose your friend says to you: "I'm against this idea, because no one should have to pay 70% of their income in taxes!" Would a person earning $10 million have to pay 70% of their earnings in taxes? Would anyone have an effective tax rate of 70%? Respond to the argument your friend is making, given what you have learned about marginal tax structures. Part of your response should be an attempt to educate your friend about how our tax system works This is an important concept from the 2nd half of this class, and your answer to this question is worth 10 points. Make sure you answer all parts of the questions above. You have plenty of time. Collect your thoughts and explain as well as you can. I'm excited to read how you would explain this to someone else! Edit Insert Formats , EEE - 1 e d 2 ' esc 2o DOD F2 F3 F4 A @ 2 # 3 $ 4 % 5 & 7 6 Q W E R T Y U