Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Maureen Smith is a single individual. She claims a standard deduction of $12,400. Her salary for the year was $188,000. Assume the following tax table
Maureen Smith is a single individual. She claims a standard deduction of $12,400. Her salary for the year was $188,000. Assume the following tax table is applicable.
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 | Average Tax Rate at Top of Bracket |
Up to $9,875 | $0.00 | 10.0% | 10.0% |
$9,875-$38,700 | 987.50 | 12.0 | 11.5 |
$40,125-$85,525 | 4,617.50 | 22.0 | 17.1 |
$85,525-$163,300 | 14,605.50 | 24.0 | 20.4 |
$163,300-$207,350 | 33,271.50 | 32.0 | 22.8 |
$207,350-$518,400 | 47,367.50 | 35.0 | 30.1 |
Over $518,400 | 156,235.00 | 37.0 | 37.0 |
What is her marginal tax rate?
35.0%
24.0%
32.0%
22.0%
12.0%
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started