Had Obama succeeded in raising the top marginal tax rate (News, p.737), how much more tax would he have paid in 2010? (Use the tax rates in table 33.1 and the News on p. 735).
*Obama proposed increasing the top marginal tax rate from 35 percent to 39.6 percent
Table 33.1 Information Below:
Tax Bracket Marginal Tax Rate
$0-8,375 10%
$8,375-34,000 15%
$34,000-82,400 25%
$82,400-171,850 28%
$171,850-373,650 33%
Over $373,650 35%
News P. 735 Information:
Gross Income: Deductions
Wages $395,188 State/local taxes $52,527
Interest 8,066 Property taxes 25,742
Dividends 9,997 Mortgage Interest 49,945
Tax refunds 1,151 Charity 245,075
Book royalties 1,382,889 Total allowed $373,289
Capital loss (3,000)
Trust Income 1,323
Total Income $1,795,614 Exeptions $14,600
Taxable Income $1,340,207
Adjustments Tax $438,949
Self - employment tax $18,518
Pension 49,000
Total $67,518
Adjusted Gross Income $1,728,096
Had Obama succeeded in raising the top marginal tax rate (News, p.737), how much more tax would he have paid in 2010? (Use the tax rates in table 33.1 and the News on p. 735).
*Obama proposed increasing the top marginal tax rate from 35 percent to 39.6 percent
Table 33.1 Information Below:
Tax Bracket Marginal Tax Rate
$0-8,375 10%
$8,375-34,000 15%
$34,000-82,400 25%
$82,400-171,850 28%
$171,850-373,650 33%
Over $373,650 35%
News P. 735 Information:
Gross Income: Deductions
Wages $395,188 State/local taxes $52,527
Interest 8,066 Property taxes 25,742
Dividends 9,997 Mortgage Interest 49,945
Tax refunds 1,151 Charity 245,075
Book royalties 1,382,889 Total allowed $373,289
Capital loss (3,000)
Trust Income 1,323
Total Income $1,795,614 Exeptions $14,600
Taxable Income $1,340,207
Adjustments Tax $438,949
Self - employment tax $18,518
Pension 49,000
Total $67,518
Adjusted Gross Income $1,728,096
Related textbook solutions
Related questions
According to the two Ć¢ĀĀIn the NewsĆ¢ĀĀ articles and the table below,
|
In the News: Obama Pitches Tax Hike on the Rich |
|
WASHINGTON: President Barack Obama on Wednesday proposed raising taxes on the wealthiest Americans during a major speech Wednesday outlining his long-term plan to bring the federal budget closer to balance. "At a time when the tax burden on the wealthy is at its lowest level in half a century, the most fortunate among us can afford to pay a little more," Obama told an audience at George Washington University. . . . Republicans denounced the proposed tax hikes as a sure way to slow economic growth in the United States. "It's very ironic that a few days before tax day in this country that the president would be coming out asking people to pay more taxes," said Representative Eric Cantor, the Republican majority leader in the House of Representatives. I don't think many Americans believe that that's the answer to fix this economy and grow jobs. |
| Analysis: President Obama proposed ending the "tax break for the rich" by increasing the top marginal tax rate from 35 percent to 39.6 percent. |
| In the News: The Obamas' Taxes | ||||
| Gross Income | Ā | Deductions | Ā | |
| Wages | $ 395,188 | State/local taxes | $ 52,527 | |
| Interest | 8,066 | Property taxes | 25,742 | |
| Dividends | 9,997 | Mortgage interest | 49,945 | |
| Tax refunds | 1,151 | Charity | 245,075 | |
| Book royalties | 1,382,889 | Total allowed | $ 373,289 | |
| Capital loss | (3,000) | Ā | Ā | |
| Trust income | 1,323 | Ā | Ā | |
| Total income | $1,795,614 | Ā | Ā | |
| Ā | Ā | Ā | Ā | |
| Adjustments | Ā | Exemptions | $ 14,600 | |
| Self-employment tax | $ 18,518 | Taxable income | $1,340,207 | |
| Pension contribution | 49,000 | Tax | $ 438,949 | |
| Ā | $ 67,518 | Ā | Ā | |
| Adjusted Gross Income | $1,728,096 | Ā | Ā | |
| Tax Bracket | Marginal Tax Rate |
| $0-8,375 | 10% |
| $8,375-34,000 | 15 |
| $34,000-82,400 | 25 |
| $82,400-171,850 | 28 |
| $171,850-373,650 | 33 |
| Over $373,650 | 35 |
Had Obama succeeded in raising the top marginal tax rate, how much more tax would he have paid in 2010?
Instructions: Enter your response to two decimal places.
$
According to the two Ć¢ĀĀIn the NewsĆ¢ĀĀ articles and the table below,
|
In the News: Obama Pitches Tax Hike on the Rich |
|
WASHINGTONĆ¢ĀĀPresident Barack Obama on Wednesday proposed raising taxes on the wealthiest Americans during a major speech Wednesday outlining his long-term plan to bring the federal budget closer to balance. Ć¢ĀĀAt a time when the tax burden on the wealthy is at its lowest level in half a century, the most fortunate among us can afford to pay a little more,Ć¢ĀĀ Obama told an audience at George Washington University. . . . Republicans denounced the proposed tax hikes as a sure way to slow economic growth in the United States. Ć¢ĀĀItĆ¢ĀĀs very ironic that a few days before tax day in this country that the president would be coming out asking people to pay more taxes,Ć¢ĀĀ said Representative Eric Cantor, the Republican majority leader in the House of Representatives. Ć¢ĀĀI donĆ¢ĀĀt think many Americans believe that thatĆ¢ĀĀs the answer to fix this economy and grow jobs.Ć¢ĀĀ |
| Analysis: President Obama proposed ending the "tax break for the rich" by increasing the top marginal tax rate from 35 percent to 39.6 percent. |
Ā
| In the News: The Obamas' Taxes | ||||
| Gross Income | Ā | Deductions | Ā | |
| Wages | $ 395,188 | State/local taxes | $ 52,527 | |
| Interest | 8,066 | Property taxes | 25,742 | |
| Dividends | 9,997 | Mortgage interest | 49,945 | |
| Tax refunds | 1,151 | Charity | 245,075 | |
| Book royalties | 1,382,889 | Total allowed | $ 373,289 | |
| Capital loss | (3,000) | Ā | Ā | |
| Trust income | 1,323 | Ā | Ā | |
| Total income | $1,795,614 | Ā | Ā | |
| Ā | Ā | Ā | Ā | |
| Adjustments | Ā | Exemptions | $ 14,600 | |
| Self-employment tax | $ 18,518 | Taxable income | $1,340,207 | |
| Pension contribution | 49,000 | Tax | $ 446,716 | |
| Ā | $ 67,518 | Ā | Ā | |
| Adjusted Gross Income | $1,728,096 | Ā | Ā | |
Ā
| Tax Bracket | Marginal Tax Rate |
| $0-8,375 | 10% |
| $8,375-34,000 | 15 |
| $34,000-82,400 | 25 |
| $82,400-171,850 | 28 |
| $171,850-373,650 | 33 |
| Over $373,650 | 35 |
Had Obama succeeded in raising the top marginal tax rate, how much more tax would he have paid in 2010?
Instructions: Enter your response to two decimal places.
