Problem 1-44 (LO 1-4)

Cameron is single and has taxable income of $84,192. Determine his tax liability. (Round your intermediate computations and final answers to 2 decimal places.) Use the appropriate Tax Tables and Tax Rate Schedules.

a. Tax liability using Tax Tables __________

b. Tax liability using Rate Schedule __________

Tax Table

Taxable income is -

At least But less than Single

84,150 84,200 16,815

Tax Rate Schedules.

Schedule X-Singl

If taxable

Income is over: But not over: The tax is:

$0 $9,275 10% of taxable income

$9,275 $37,650 $927.50 plus 15% of the excess over $9,275

$37,650 $91,150 $5,183.75 plus 25% of the excess over $37,650

$91,150 $190,150 $18,558.75 plus 28% of the excess over $91,150