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Pleases complete the chart and explain 8. For each of the households listed in the table below use the 2019 personal income tax rate schedules

Pleases complete the chart and explain

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8. For each of the households listed in the table below use the 2019 personal income tax rate schedules below to compute the tax liability, marginal and average effective tax rate. a. Compute the tax liability, average tax rate, and marginal tax rate that applies to each household. b. Explain the difference between the average and marginal tax rates and the pattern of average tax rates with respect to income among the three tax filers. Taxpayer: Lucy Fred and Wilma Boris and Natasha Filing status: single married filing jointly married filing jointly Taxable income: $36,000 $325,000 $850,000 Tax liability: Marginal tax rate: Average tax rate: Tax Brackets and Rates, 2019 For Unmarried For Married Individuals For Heads of Rate Individuals, Taxable Filing Joint Returns, Households, Taxable Income Over Taxable Income Over Income Over 10% $0 $0 $0 12% $9 , 700 $19, 400 $13, 850 228 $39, 475 $78, 950 $52 , 850 24% $84, 200 $168 , 400 $84, 200 32% $160, 725 $321 , 450 $160, 700 35% $204, 100 $408 , 200 $204, 100 37% $510, 300 $612, 350 $510, 300

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