Question

Tina lives in a state that charges her 4.5% state income tax on her federal taxable income. If her federal taxable income is $61,600, how much does Tina pay in state income tax?

Answer 1

$ 2772 is paid in state income tax

Solution:

Given that, Tina lives in a state that charges her 4.5% state income tax on her federal taxable income

Federal taxable income = $61,600

To find: Amount paid by Tina in state income tax

Tax rate = 4.5 %

Which means, 4.5 % of $61,600 is paid as tax

$Tax\ Rate = 4.5 \% \text{ of } 61600$

Here, "of" means multiplication or product

$Tax\ Rate = 4.5 \% \times 61600\\\\Tax\ Rate = \frac{4.5}{100} \times 61600\\\\Tax\ Rate = 0.045 \times 61600\\\\Tax\ Rate = 2772$

Thus $ 2772 is paid in state income tax

Answer 2

4.5% of 61,600

0.045(61,600) = 2772