Accounting Homework Help. 2007 Federal Income Tax Table Single: OverBut not overThe tax is$0$7,82510% of the amount over $0$7,825$31,850$788 + 15% of the amount over $7,825$31,850$77,100$4,386 + 25% of the amount over $31,850$
2007 Federal Income Tax TableSingle:OverBut not overThe tax is$0$7,82510% of the amount over $0$7,825$31,850$788 + 15% of the amount over $7,825$31,850$77,100$4,386 + 25% of the amount over $31,850$77,100$160,850$15,699 + 28% of the amount over $77,100$160,850$349,700$39,149 + 33% of the amount over $160,850$349,700And Over$101,469 + 35% of the amount over $349,700
Tim Worker estimates his taxable income will be $7,000. He is paid twice a month or 24 times a year. Because Tim has only one source of income, he uses the Tax Tables to estimate how much will be deducted from his pay for withholding.
1. Finds the tax rate for his income level. = 29.1610240700%
2. Enters the base amount. = $ 7001024029.16
3. Enters the amount of tax owed. = $ 24029.1670010
4. Divides by 29.1670002410 = $ 29.1607001024