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Table: Tax Brackets Use the following tax rates and income brackets for 2015 to answer the following question(s). Tax Rates 10% 15% 25% Individual Returns

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Table: Tax Brackets Use the following tax rates and income brackets for 2015 to answer the following question(s). Tax Rates 10% 15% 25% Individual Returns Joint Returns $0 to $9,075 $0 to $18, 150 $9,076 to $36,900 $18,151 to $73,800 $36,901 to $89,350 $73,801 to $148,850 $89,351 to $186,350 $148,851 to $226,85 $186,351 to $405,100 $226,851 to $405,100 $405,101 to $406,750 $405,101 to $457,60 28% 33% 35% In 2015, the Smiths earned a combined taxable income of $148,800 from employment plus $1,000 in long-term capital gains and they file a joint tax return. Assume that the Smiths' long-term capital gain tax rate is 15%. To gain credit, you must show all your calculations. a) What is their federal income tax based on the combined income of $148,800? 2 points b) What is the amount of federal income tax they owe as a result of the capital gain? 1 point c) What is the total federal income tax for the Smiths for the year 2015? 1 point

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