Business
Business, 11.02.2020 22:01, jonathansheehan26

Marginal tax rates Partner A, a single taxpayer, is one of two partners in a small business. As such, she receives pass-through income that is taxed at her personal tax rates. After all adjustments and deductions have been made, including the 20% qualified business income deduction, she is preparing to calculate her taxes owed for the year. Using the tax rate schedule given here LOADING..., perform the following:
a. Find the marginal tax rate for the following levels of sole proprietorship earnings before taxes: $ 15,000; $ 60,000; $ 90,000; $ 150,000; $ 250,000; $ 450,000; and $ 1.0 million.
b. Plot the marginal tax rates (measured on the y-axis) against the pretax income levels (measured on the x-axis). Explain the relationship between these variables.

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Marginal tax rates Partner A, a single taxpayer, is one of two partners in a small business. As such...

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