Difference between revisions of "Annual Taxes - Humor In The Drudgery"

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Revision as of 17:09, 7 January 2025

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Because on the increasing tax rate better brackets, a reduction of taxable income at a higher bracket saves you more tax than gonna do it . reduction through a lower class. So let's compare the tax saving of contributing $1000 by one person with a $30,000 income with a single person with a $100,000.

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Example: Mary, an American citizen, is single and lives in Bermuda. She earns a salary of $450,000. Part of Mary's income will be subject to U.S. taxes at the 39.6% tax rate.

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