Scot and Vidia, married taxpayers, earn $242,000 in taxable income and $5,000 in interest from an investment in City of Tampa bonds. (Use the U.S. tax rate schedule for married filing jointly). Required: Having trouble with #2!!! If Scot and Vidia earn an additional $82,000 of taxable income, what is their marginal tax rate on this income? 24% What is their marginal tax rate if, instead, they report an additional $82,000 in deductions? (For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places.)
Scot and Vidia, married taxpayers, earn $242,000 in taxable income and $5,000 in interest from an investment in City of Tampa bonds. (Use the U.S. tax rate schedule for married filing jointly). Required: Having trouble with #2!!! If Scot and Vidia earn an additional $82,000 of taxable income, what is their marginal tax rate on this income? 24% What is their marginal tax rate if, instead, they report an additional $82,000 in deductions? (For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places.)
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter18: Accounting For Income Taxes
Section: Chapter Questions
Problem 2RE: Refer to RE18-1. Assume that Parkers taxable income for Year 1 is 150,000. Prepare the journal entry...
Related questions
Question
Scot and Vidia, married taxpayers, earn $242,000 in taxable income and $5,000 in interest from an investment in City of Tampa bonds. (Use the U.S. tax rate schedule for married filing jointly).
Required: Having trouble with #2!!!
- If Scot and Vidia earn an additional $82,000 of taxable income, what is their marginal tax rate on this income? 24%
- What is their marginal tax rate if, instead, they report an additional $82,000 in deductions?
(For all requirements, do not round intermediate calculations. Round your answers to 2 decimal places.)
Transcribed Image Text:Schedule Y-1-Married Filing Jointly or Qualifying Widow(er)
If taxable income is over:But not over:
The tax is:
$ 19,900
$ 81,050
$ 172,750 |$9,328 plus 22% of the excess over $81,050
$ 329,850 $29,502 plus 24% of the excess over $172,750
$ 418,850 $67,206 plus 32% of the excess over $329,850
$ 628,300 |$95,686 plus 35% of the excess over $418,850
$
10% of taxable income
$ 19,900
$ 81,050
$ 172,750
$ 329,850
$ 418,850
$ 628,300
$1,990 plus 12% of the excess over $19,900
$168,993.50 plus 37% of the excess over $628,300
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning