Assume that it is December 31, and that Jake is considering making a $1,000 charitable contribution. Jake

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Assume that it is December 31, and that Jake is considering making a $1,000 charitable contribution. Jake currently is in the 39.6% tax bracket, but expects that his tax bracket will be 28% next year. How much more will the deduction for the contribution be worth if it is made today compared to next year? (Ignore any phase-outs of itemized deductions.)

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Federal Taxation 2018 Comprehensive

ISBN: 9780134532387

31st Edition

Authors: Thomas R. Pope, Timothy J. Rupert, Kenneth E. Anderson

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