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Follow the steps to calculate the federal income tax owed on a [tex]$\$[/tex]30,000$ salary, using the given tax rates.

Calculate the amount of taxable income in the [tex]$12\%$[/tex] tax bracket.

\begin{tabular}{|r|c|}
\hline
Standard Deduction & \begin{tabular}{c}
[tex]$\$[/tex]12,200$ \\
\end{tabular} \\
\hline
Income Range (\$) & Progressive Tax Rate \\
\hline
[tex]$0-9,700$[/tex] & [tex]$10\%$[/tex] \\
\hline
[tex]$9,701-39,475$[/tex] & [tex]$12\%$[/tex] \\
\hline
[tex]$39,476-84,200$[/tex] & [tex]$22\%$[/tex] \\
\hline
[tex]$84,201-160,275$[/tex] & [tex]$24\%$[/tex] \\
\hline
[tex]$160,276+$[/tex] & [tex]$32\%$[/tex] \\
\hline
\end{tabular}

Taxable Income = [tex]$\$[/tex]17,800$

[tex]$\$[/tex]9,700 \cdot 10\% = \[tex]$970$[/tex]

[tex]$\$[/tex][?] \cdot 12\% = \[tex]$[?]$[/tex]



Answer :

GinnyAnswer
To calculate the federal income tax owed on a $30,000 salary, considering the given tax brackets and rates, follow these steps:

1. Determine the taxable income:
[tex]\[ \text{Taxable Income} = \text{Income} - \text{Standard Deduction} = \[tex]$30,000 - \$[/tex]12,200 = \$17,800
\][/tex]

2. Calculate the tax for the 10% bracket:
[tex]\[ \[tex]$9,700 \cdot 10\% = \$[/tex]970
\][/tex]

3. Calculate the remaining income that falls under the 12% bracket:
[tex]\[ \text{Remaining Income} = \text{Taxable Income} - \[tex]$9,700 = \$[/tex]17,800 - \[tex]$9,700 = \$[/tex]8,100
\][/tex]

4. Calculate the tax for the 12% bracket:
[tex]\[ \[tex]$8,100 \cdot 12\% = \$[/tex]972
\][/tex]

Putting it all together:

- The amount of taxable income in the 12% tax bracket is $8,100.

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