Question

1. christina and liam earned $225,000 last year and will file taxes jointly. use the tax schedule information below to determine how much tax chris and liam will owe.

over —	but not over —	the tax is:	of the amount over —

• $54,000
• $14,400
• $42,579
• $28,170

Explanation:

Step1: Find the amount over $165,000

The total income is $225,000. The amount over $165,000 is $225,000 - $165,000 = $60,000.

Step2: Calculate 24% of the amount over

24% of $60,000 is $60,000 * 0.24 = $14,400.

Step3: Add the base tax

The base tax is $28,179. So total tax is $28,179 + $14,400 = $42,579.

Answer:

$42,579