Question

Mitch, a singe taxpiyes, earns $100,000 an taxable income and $10,000 in interest from an imvestment in city of Eurmingham Bonds. Using the Us tax rate schedule for year 2022, how much federal tax will he owe? (faxirste schedile) Multiple Choike $22000 sin836 sin234 $24000 Individuals Schedule X-Single \begin{tabular} \hline If taxable income is over: & But not over: & \multicolumn{1}{ The tax is: } \\ \hline$10 & $10,275 & 10% of taxable income \\ \hline$10,275 & $41,775 & $1,027.50 plus 12% of the excess over $10,275 \\ \hline$41,775 & $89,075 & $4,807.50 plus 22% of the excess over $41,775 \\ \hline$89,075 & $170,050 & $15,213.50 plus 24% of the excess over $89,075 \\ \hline$170,050 & $215,950 & $34,647.50 plus 32% of the excess over $170,050 \\ \hline$215,950 & $539,900 & $49,335.50 plus 35% of the excess over $215,950 \\ \hline$539,900 & - & $162,718 plus 37% of the excess over $539,900 \\ \hline \end{tabular} Schedule Y-1-Married Filing Jointly or Qualifying Widow(er) \begin{tabular}c \hline If taxa \\ \hline 0 & $20,550 & 10% of taxable income \\ \hline$20,550 & $83,550 & $2,055 plus 12% of the excess over $20,550 \\ \hline$83,550 & $178,150 & $9,615 plus 22% of the excess over $83,550 \\ \hline$178,150 & $340,100 & $30,427 plus 24% of the excess over $178,150 \\ \hline$340,100 & $431,900 & $69,295 plus 32% of the excess over $340,100 \\ \hline$431,900 & $647,850 & $98,671 plus 35% of the excess over $431,900 \\ \hline$647,850 & - & $174,253.50 plus 37% of the excess over $647,850 \\ \hline \end{tabular} Schedule Z-Head of Household \begin{tabular}l \hline If taxable income is over: & But not over: & \multicolumn{1}{ The tax is: } \\ \hline$0 & $14,650 & 10% of taxable income \\ \hline$14,650 & $55,900 & $1,465 plus 12% of the excess over $14,650 \\ \hline$55,900 & $89,050 & $6,415 plus 22% of the excess over $55,900 \\ \hline$89,050 & $170,050 & $13,708 plus 24% of the excess over $89,050 \\ \hline \end{tabular}

Answer 1

Mitch owes $17,835.50 in federal tax for the year 2022 based on his taxable income of $100,000 as a single taxpayer, without adding the tax-exempt interest income from municipal bonds.

Step-by-step explanation:

To calculate Mitch's federal tax using the provided tax rate schedule for a single individual, we can follow these steps:

1. Identify the applicable tax bracket for Mitch's taxable income.

2. Apply the corresponding tax rate to the income within that bracket.

3. Add any fixed tax amounts specified for the respective bracket.

Mitch's taxable income is $100,000. Let's calculate his federal tax:

- Taxable income is over $89,075 but not over $170,050.

Tax = $15,213.50 (tax for the bracket $89,075 to $170,050)

+ 24% of the excess over $89,075

= $15,213.50 + 0.24 * ($100,000 - $89,075)

= $15,213.50 + 0.24 * $10,925

= $15,213.50 + $2,618

= $17,831.50

Therefore, Mitch's federal tax liability is $17,831.50.