Question

According to the table, if a married couple filing jointly earns $67,400, what will their taxes be to the nearest dollar?

Sample IRS Tax Schedule, 20xx:

Status Gross Taxable Earnings (E) Taxes Due
Single
0 to 6,999.99 0.1E
7,000 to 28,399.99 0.15E−350
28,400 to 68,799.99 0.25E−3,190
68,800 to 143,499.99 0.28E−5,254
143,500 to 311,949.99 0.33E−12,429
311,950 and over 0.35E−18,663
| Head of Household | | |
| 0 to 9,999.99 | 0.10E |
| 10,000 to 38,049.99 | 0.15E−500 |
| 38,050 to 96,249.99 | 0.25E−4,305 |
| 96,250 to 159,099.99 | 0.28E−7,252.50 |
| 159,100 to 311,949.99 | 0.33E−15,207.50 |
| 311,950 and over | 0.35E−21,346.50 |

| Married Filing Jointly | | |
| 0 to 13,999.99 | 0.10E |
| 14,000 to 28,399.99 | 0.15E−700 |
| 28,400 to 68,799.99 | 0.25E−6,330 |
| 68,800 to 143,499.99 | 0.28E−9,819.50 |
| 143,500 to 311,949.99 | 0.33E−18,554.50 |
| 311,950 and over | 0.35E−24,790.50 |

| Married Filing Separately | | |
| 0 to 6,999.99 | 0.10E |
| 7,000 to 28,399.99 | 0.15E−350 |
| 28,400 to 68,799.99 | 0.25E−3,190 |
| 68,800 to 143,499.99 | 0.28E−4,909.75 |
| 143,500 to 311,949.99 | 0.33E−9,277.25 |
| 311,950 and over | 0.35E−12,396.75 |
A. $10,470
B. $10,590
C. $11,150
D. $11,320

Answer 1

Married filing jointly, $67,400 falls in the 28,400–68,799.99 bracket, so tax = 0.25E − 6,330.

0.25 × 67,400 = 16,850
16,850 − 6,330 = 10,520

The computed tax is $10,520, which is not listed; the nearest choice is A: $10,470.