(Solved) : Federal Tax Calculator Calculates Amount Federal Tax Depending Income Filing Status Tax Br Q44038949 . . .
Federal Tax Calculator calculates the amount of federal taxdepending on the income, filing status, and the tax brackets(standard/itemized deduction is zeroed to make the problem simple).There are four different filing status and seven tax brackets asgiven in the below table:
Tax rate
10% 12% 22% 24% 32% 35% 37%
Single (S)
$0 to $9,700 $9,701 to $39,475 $39,476 to $84,200 $84,201 to$160,725 $160,726 to $204,100 $204,101 to $510,300 $510,301 ormore
Married Filing Jointly (M)
$0 to $19,400 $19,401 to $78,950 $78,951 to $168,400 $168,401 to$321,450 $321,451 to $408,200 $408,201 to $612,350 $612,351 ormore
Married Filing Sep- arately (F)
$0 to $9,700
$9,701 to $39,475 $39,475 to $84,200 $84,201 to $160,725 $160,726to $204,100 $204,101 to $306,175 $306,176 or more
Head of Household (H)
$0 to $13,850 $13,851 to $52,850 $52,851 to $84,200 $84,201 to$160,700 $160,701 to $204,100 $204,101 to $510,300 $510,301 ormore
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Your program should input the income and filing status (eitherS, M, F or H) and cal- culate the tax. The tax is calculated asfollows:
1. For example, for someone with Single status and an income of$10,000,
tax = 9700*(10/100) + (10000-9700)*(12/100) = 970 + 36 =$1006
The tax slabs for Single (S) filing is given in Column 1 of thetable. The slabs are $9,700 , $39,475, $84,200, $160,725 and so on.In this case, the income of $10,000 is greater than the first taxslab of $9,700. Therefore, the tax rate (10%) of the entire slab($9,700) is calculated. In next step, the first slab amount isdeducted from the income and compared with the second slab. Since,$10,000 – $9,700 = $300 is less than $39,475, the tax is calculatedas, the tax from the first slab (10% of $9,700) plus 12% (secondslab tax) of $300 = $36(residual amount). So, the total tax is $970+ $36 = $1006
2. For a Head of Household (H) filing with income of $100,000
tax = 13850 * (10/100) + 52850*(12/100) +(100000-(13850+52850))*(22/100) = 15,053
In this case, $100,000 is greater than first slab, so 10% of$13,850 = $1,385, then income minus first slab amount ($100,000 -$13,850) = $86,150 is greater than second slab amount of $52,850,so 12% of $52,850 = $6,342 . Finally, the income minus first andsecond slab which is $100,000 – ($13,850 + $52,850) = $33,300 isNOT greater than third slab amount of $84,200, therefore it is 22%of $33,300 = $7,342. Finally, the tax is $1,385 + $6,342 + $7,342 =$15,053
Expert Answer
Answer to Federal Tax Calculator calculates the amount of federal tax depending on the income, filing status, and the tax brackets…
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