Question

if corah’s marginal tax rate is 12%, she’ll pay 12% on all of her taxable income. 1 true. 2 false

Explanation:

The marginal tax rate is the rate paid on the next dollar of taxable income, not all taxable income. Tax systems (like progressive) have different rates for different income brackets. So a 12% marginal rate means only the income in the bracket with 12% is taxed at 12%, not all income.

Answer:

1. False