Question

Steve Forbes ran for US president in 1996 and 2000 on a platform proposing a 17% flat

tax, that is, an income tax that would simply be 17% of each tax payer's taxable
income. Suppose that Alice was single in the year 2016 with a taxable income of $40000.
a) What was Alice's tax? Use Tax table on page 292.
b) If the 17% flat tax proposed by Mr. Forbes had been in effect in 2016, what
would Alice's tax have been?

Answer 1

She would have been taxed 6800 so she would have only got 33200 out of the 40000 she made