Question
Ed and Wendy are a married couple with no children. Each earns $75,000 per year, and their combined household adjusted gross income is $150,000. JOhn
Ed and Wendy are a married couple with no children. Each earns $75,000 per year, and their combined household adjusted gross income is $150,000. JOhn and Kristen are also married and have $150,000 in combined household adjusted gross income and no children. However, Kristen earns all of the income; John does not work. To answer the question use the 2014 tax rates for individuals with different filing status below. Personal exemptions are $3590 per person and standard deductions are $6200 per person. B) what is their marginal tax rate? What is their average tax rate? Assume both families had no "above-the-line" deductions
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