Asked by Patrick Allison on May 08, 2024
Verified
Mr.McCain pays $1,000,000 in federal income tax.How much is his marginal tax rate?
Marginal Tax Rate
The percentage of tax applied to your income for each tax bracket in which you qualify, essentially the rate applied to the last dollar of the taxpayer's income.
Federal Income Tax
An annual fee collected by the United States federal government from individuals, corporations, trusts, and other legal entities' earnings.
- Uncover the distinctions and methodologies for calculating average and marginal tax rates.
Verified Answer
BM
Learning Objectives
- Uncover the distinctions and methodologies for calculating average and marginal tax rates.