Question

Donna Forrester's gross pay is $72,500 a year. The state income tax is 3% of taxable wages. Donna takes a married exemption of $4,000 for herself and her husband. How much is withheld from her gross earnings for state income tax for the year?

Answer 1

the answer is $2,055

Answer 2

Donna's state income tax will be $2,055

Step-by-step explanation:

Donna's gross pay is $72,500. If she takes the $4,000 exemption, her taxable income will lower to $68,500, that will be her net income used for state income taxes.

Donna's state income taxes = $68,500 x 3% = $2,055