Question
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%
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Legal Handbook For Financial Planning In 2019
Authors: Allen Buckley
1st Edition
1091578826, 978-1091578821
