Question

Antonio earned $110,000 in taxable income in 2022. According to the IRS tax rates for a single taxpayer, what is his marginal tax rate?

a) 22.0%
b) 24.0%
c) 32.0%
d) 35.0%

Answer 1

Antonio's marginal tax rate is 22.0%

Step-by-step explanation:

The marginal tax rate is the rate at which the last dollar of income earned is taxed. To determine Antonio's marginal tax rate, we need to refer to the IRS tax rates for a single taxpayer in 2022. According to the tax rates, income between $40,525 and $86,375 is taxed at a rate of 22%. Since Antonio's taxable income is $110,000, which is above $86,375, his marginal tax rate is 22.0%.