Question

iley, hat a single taxpayer, plans on reporting $31200 of taxable income this year (all of her income is from a part-time job) She is considering applying for a would give her an additional $11,500 of taxable income. By how much will the income from the second job Increase her tax lability? (Use the tax rate schedules Multiple Choice Su5O $1780 $1,380 $2.000 2018 Tax Rate Schedules Individuals Schedule X-Single Schedule Z-Head of Household If taxable income But not over: The tax is: If taxable income is But not over: The tax is: is over: over s 9,525 |10% of taxable income | S 0 $ 13,600 | 10% of taxable income S 9,525 3,700 | S952.50 plus 12% of S 13.600 S 51.S00 | S1.360 plus 12% of the excess over S13.600 the excess over $9.525 ss.944 plus 22% of the excess over 51.800 s s2.500 S 38,700 | S S2.500 | S4.45350 plus 22% of s 51,so the excess over S38,700 S 32.500 SI 57.500 | SI 2.695 plus 24% of S S2.500 si57,500 |S14.059 50 plus 24% of the excess over S82.500 the excess over $32.500 157.500 $200,000 | S3069S plus 32% of S200.000 |S32.00950 plus 32% $157,500 the excess over of the excess over $157,500 $157.500 $200.000 S500.000 | S44.295 plus 35% of $500.000 |$45.65950 plus 35% S200,000 of the excess over $200.000 the excess over $200.000 SI 40.293 plus 37% of the excess over 500,000 5500,000 si 50.609 50 plus 37% of the excess over S500,000 S500,000 Schedule Y-2-Married Filing Separately Schedale Y-1-Married Filling Jointly or Qualitying Widow(er) Schedule Y-1-Married Filing Jointly or Qualifying Widow(er) Schedule Y-2-Married Filing Separately If taxable income But not over: The tax is: If taxable income is But not over: The tax is: is over: over: 0 $ 19,050 | 10% of taxable income 0 $ 9,525 110% of taxable income $ 19,050 $ 77,400 | SI .905 plus 12% of S 9.525 $ 3,700 | S952.50 plus 12% of the excess over $9.525 the excess over $19,050 S 77,400 S 165.000 | S8907 plus 22% of S 38.700 $ $2.500 | $4,453.50 plus 22% of the excess over the excess over $77,400 S38.700 S165.000 S3 15.000 |S29.179 plus 24% of s 2.500 SI 57,500 | S 14,039.50 plus 24% of the excess over the excess over S165.000 $32.500 S315,000 $400,000 | S64, 179 plus 32% of S157.500 $200.000 | S32.03950 plus 32% of the excess over $157,500 the excess over S315,000 $200,000 S300.000 | S45.6S9 50 plus 35% S400.000 600,000 | S91.379 plus 35% of of the excess over S200.000 the excess over $400,000 sso,63950 plus 37% of the excess over S300.000 $300,000 S 161.379 plus 37% of the excess over S600.000 $600,000

Answer 1

Answer- option B 1780

working note

​​Miley is a single tax payer so tax rate is  individual schedule x single is applicable

Computation of tax

Taxable income 31200

By applying above taxable rate

I.e income is between 9525 to 38700

tax payable is 3553.5 (I.e 952.50 + 12% 21675)

Find part time jobs income is added then tax payable is

Table income is 42700

Income is between 38700 to 82500

tax payable is 5333.5(I.e 4453.50+ 22% of 400)

tax liability is increase due to 2nd job is 1780 (I.e 5333.5-3553.5)

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