Determine the tax liability, marginal tax rate, and average tax rate (rounded to two decimal places) in each of the following cases. Use the tax tables to determine tax liability. Case 1: Single taxpayer, taxable income of $36,162: Case 2: Single taxpayer, taxable income of $89,889:
Determine the tax liability, marginal tax rate, and average tax rate (rounded to two decimal places) in each of the following cases. Use the tax tables to determine tax liability. Case 1: Single taxpayer, taxable income of $36,162: Case 2: Single taxpayer, taxable income of $89,889:
Chapter2: Gross Income And Exclusions
Section: Chapter Questions
Problem 29MCQ: During 2019, Carl (a single taxpayer) has a salary of $91,500 and interest income of $11,000....
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Determine the tax liability, marginal tax rate, and average tax rate (rounded to two decimal places) in each of the following cases. Use the tax tables to determine tax liability.
Case 1: Single taxpayer, taxable income of $36,162:
Case 2: Single taxpayer, taxable income of $89,889:
Transcribed Image Text:2020 Federal lIncome Tax Brackets and Rates for Single Filers,
Married Couples Filing Jointly, and Heads of Households
For Single
Individuals
For Married Individuals Filing
Joint Returns
For Heads of
Households
Rate
10%
Up to $9,875
Up to $19,75
Up to $14,100
$9,876 to $40,125 $19,751 to $80,250
$14,101 to
$53,700
12%
$40,126 to
$85, 525
$53,701 to
$85,500
22%
$80,251 to $171,050
$85, 526 to
$163,300
$171,051 to $326,600
$85, 501 to
$163,300
24%
$163,301 to
$207,350
$326, 601 to $414,700
32%
$163,301 to
$207,350
$207,351 to
$518,400
$414,701 to $622,050
$207,351 to
$518, 400
35%
37%
$518,401 or more
$622,051 or more
$518, 401 or more
Source: Internal Revenue Service
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