[The_Republic_Of_Maine]

QUESTION: As for the tax brackets, my question is this;

for a married couple the tax is 0% on up to 50K combined, now my question, let's say a couple has a combined income of 55K, do they pay 5% on the entire 55K or just on the 5K over the 50K, in other words is the tax on everything below or just on what goes into that bracket?

Let's go a bit further for clarification, let us say, I earn 110K in a year, my wife earns 5K giving us a total income for the year of 115K, what would our tax be, assuming no deductions.

[babble-on]

Marginal tax rates only apply to the amount above the next lower rate. So your tax is only due on the 5 about 50. Do you currently pay your taxes?

[babble-on]

Marginal tax rates only apply to the amount above the next lower rate. So your tax is only due on the 5 about 50. Do you currently pay your taxes?