Given the following rates for the income tax, calculate this person's average tax rate for a...

Given the following rates for the income tax, calculate this person's average tax rate for a taxable income of $70,000 Please show your work

Income bracket        Marginal tax rate
$0- $10,000                    10%
$10,000 - $30,000           20%
$30,000 - $60,000           25%
$60,000 - $80,000         30%
Over $100,000                40%

Expert Solution

Total tax paid by the person = (10,000 * 0.10) + (20,000 * 0.20) + (30,000 * 0.25) + (10,000 * 0.30)

= 1,000 + 4,000 + 7,500 + 3,000

= $15,500

Average tax rate = (Total tax paid / Taxable income) * 100

= (15,500 / 70,000) * 100

= 22.14%

Thus, this person's average tax rate is 22.14%.

Rahul Sunny answered 1 year ago

Given the tax rates shown in the table, what is the average tax rate for a...

Given the tax rates shown in the table, what is the average tax rate for a firm with taxable income of $226,000? Taxable Income Tax Rate $0 - 50,000 15% $50,000 - $75,000 25% $75,000 - $100,000 34% $100,000 - $335,000 39% Group of answer choices 31.59 percent 36.79 percent 33.81 percent 39.00%

Based on the following table of the tax rates, what is the average tax rate for a firm with taxable income of $120,000?

Based on the following table of the tax rates, what is the average tax rate for a firm with taxable income of $120,000?Taxable Income ($)Tax Rate0 – 50,00015%50,000 – 75,00025%75,000 – 100,00034%100,000 – 335,00039%39%20%34%25%None of the above

Based on the following table of the tax rates, what is the average tax rate for...

Based on the following table of the tax rates, what is the average tax rate for a firm with taxable income of $120,000? Taxable Income ($) Tax Rate 0 – 50,000 15% 50,000 – 75,000 25% 75,000 – 100,000 34% 100,000 – 335,000 39% A. 20% B. 25% C. 34% D. 39%

1. Calculate the taxable income, tax liability and average tax rate for Carson Wentz, of Philadelphia,...

1. Calculate the taxable income, tax liability and average tax rate for Carson Wentz, of Philadelphia, who earned $134,000 in salary, contributed $6,000 in personal retirement contributions, and has $10,000 in deductions. His is filing his taxes as single. You need to show the details of your calculations in order to receive full credit for this question. (Hint: use Table 4-2 to calculate the taxes).

Calculate the average tax rate for an individual with taxable income of $311, 360. Also, why...

Calculate the average tax rate for an individual with taxable income of $311, 360. Also, why will the average tax rate almost certainly be lower than the marginal tax rate? Taxable Income Tax Rates $ 0- 50,000 15% 50,001- 75,000 25% 75,001- 100,000 34% 100,001- 335,000 39%

The tax rate on the last dollar of income: a Average tax rate b Progressive tax...

The tax rate on the last dollar of income: a Average tax rate b Progressive tax rate c Marginal tax rate d Capital tax rate

Taxation table Income Tax Standard personal income tax rates Income band Taxable amount Rate K1 to...

Taxation table Income Tax Standard personal income tax rates Income band Taxable amount Rate K1 to K39,600 first K39,600 0% K39,601 to 49,200 next K9,600 25% K49,201 to K74,400 next K25,200 30% Over K74,400 37.5% Income from farming for individuals K1 to K39,600 first K39,600 0% Over K39,600 10% Company Income Tax rates On income from manufacturing and other 35% On income from farming 10% Capital Allowances Implements, plant and machinery and commercial vehicles: Wear and Tear Allowance – Standard...

Question