Taxable Gross Income Amar Cross Income - Deductions Exemptions Effective Tax Rate = Income Tax Payable / Annual Gross Income NEW RULES PASSED ORIGINAL PROPOSAL BY IRS Standard Deduction $12,000 Standard Deduction $6,500 Personal Exemption $0 Personal Exemption $4,150 TGI range TGI range Tax Tax rate rate $0 - $9,525 10% $0 - $9,525 10% $9,525 - $38,700 12% $9,525 - $38,700 15% $38,700 - $82,500 22% $38,700 - $93,700 25% $82,500 - $157,500 24% $93,700 - $195,450 28% $157,500 - $200,000 32% $195,450 - $424,950 33% $200,000 - $500,000 35% $424,950 - $426,700 35% $500,000+ 37% $426,700 + 39.6% Andrew, a mutual fund manager, has annual gross income of S160,000 and is a single tax filer with no additional deductible For Andrew, calculate the new rule and original rule's the followings: total deductibles, taxable gross income, tax brackets, i also the tax saved loss in both dollar value and effective rate (10 items). Please ignore the $ and % sign and keep 2 decimal places. Meaning for both $12,443.245 and 512,443.254 you should type Click Save and Submit to save and submit. Click Save All Answers to save all answers. Please ignore the $ and % sign and keep 2 decimal places. Meaning for both $12.443.24 Make sure you have enough time for this question. UNDER NEW RULE (1) Total deductibles = (2) Taxable gross income = (3) Marginal tax bracket (4) Income tax payable = (5) Effective tax rate = UNDER ORIGINAL RULE (6) Total deductibles (7) Taxable gross income (8) Marginal tax bracket (9) Income tax payable (10) Effective tax rate = COMPARING NEW AND ORIGINAL RULES (11) Is it saving or loss (12) By how much $ (13) By how much %= IS THE US PERSONAL INCOME TAX SYSTEM (14) Flat rate or progressive (15) Is effective or marginal rate higher