2024 Tax Rate Schedules

Individuals Schedule X-Single If taxable income is over: But not over: The tax is: $ 0 $ 11,600 10% of taxable income $ 11,600 $ 47,150 $1,160 plus 12% of the excess over $11,600 $ 47,150 $ 100,525 $5,426 plus 22% of the excess over $47,150 $ 100,525 $ 191,950 $17,168.50 plus 24% of the excess over $100,525 $ 191,950 $ 243,725 $39,110.50 plus 32% of the excess over $191,950 $ 243,725 $ 609,350 $55,678.50 plus 35% of the excess over $243,725 $ 609,350 — $183,647.25 plus 37% of the excess over $609,350

Schedule Y-1-Married Filing Jointly or Qualifying surviving spouse If taxable income is over: But not over: The tax is: $ 0 $ 23,200 10% of taxable income $ 23,200 $ 94,300 $2,320 plus 12% of the excess over $23,200 $ 94,300 $ 201,050 $10,852 plus 22% of the excess over $94,300 $ 201,050 $ 383,900 $34,337 plus 24% of the excess over $201,050 $ 383,900 $ 487,450 $78,221 plus 32% of the excess over $383,900 $ 487,450 $ 731,200 $111,357 plus 35% of the excess over $487,450 $ 731,200 — $196,669.50 plus 37% of the excess over $731,200

Schedule Z-Head of Household If taxable income is over: But not over: The tax is: $ 0 $ 16,550 10% of taxable income $ 16,550 $ 63,100 $1,655 plus 12% of the excess over $16,550 $ 63,100 $ 100,500 $7,241 plus 22% of the excess over $63,100 $ 100,500 $ 191,950 $15,469 plus 24% of the excess over $100,500 $ 191,950 $ 243,700 $37,417 plus 32% of the excess over $191,950 $ 243,700 $ 609,350 $53,977 plus 35% of the excess over $243,700 $ 609,350 — $181,954.50 plus 37% of the excess over $609,350

Schedule Y-2-Married Filing Separately If taxable income is over: But not over: The tax is: $ 0 $ 11,600 10% of taxable income $ 11,600 $ 47,150 $1,160 plus 12% of the excess over $11,600 $ 47,150 $ 100,525 $5,426 plus 22% of the excess over $47,150 $ 100,525 $ 191,950 $17,168.50 plus 24% of the excess over $100,525 $ 191,950 $ 243,725 $39,110.50 plus 32% of the excess over $191,950 $ 243,725 $ 365,600 $55,678.50 plus 35% of the excess over $243,725 $ 365,600 — $98,334.75 plus 37% of the excess over $365,600 Chuck, a single taxpayer, earns $79,200 in taxable income and $15,000 in interest from an investment in City of Heflin bonds. (Use the U.S. tax rate schedule.)

Required: If Chuck earns an additional $40,000 of taxable income, what is his marginal tax rate on this income? What is his marginal rate if, instead, he had $40,000 of additional deductions?