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What is the affect of a per unit tax on marginal cost of production?
a per unit tax directly affects the marginal cost schedule by increasing the value of each marginal cost at each value by the amount of the tax
What is after cost of debt?
The after-tax cost of debt is predominantly based on marginal pretax costs, as well as marginal or statutory tax rates.
Why is marginal cost unaffected by lump sum tax?
Marginal cost is the cost to the firm of producing one more unit of output - it is affected by the same factors that affect variable costs. A lump sum tax does not affect this relationship whereas a tax on the marginal unit produced will; such as an ad valorem tax. If a lump sum tax is imposed on a producer this will NOT affect his profit maximising decisions as his output decisions are always based on the margin. He will set MC = MR as per normal but will endure lower profits as the AC has increased. It is important to understand the distinction between marginal and average in this case and the consequences that marginal tax has on behaviour of the firm.
What is the formula of the marginal propensity to withdraw?
MPW (Marginal Propensity to Withdraw) = Marginal Propensity to Save (MPS) + Marginal propensity to tax (MPT)+ Marginal Propensity to Import (MPM)MPS (proportion of additional income that is saved)=a change in Savings/ a change in National incomeMPT (Proportion of additional income that is taxed)=a change in Taxation/ a change in National incomeMPM (the proportion of additional income that is spent on imports)=a change in imports/ a change in National income
Why do the Scandinavian countries have high taxes?
According to the OECD, Denmark (26.4 percent), Norway (19.7 percent), and Sweden (22.1 percent) all raise a high amount of tax revenue as a percent of GDP from individual income taxes and payroll taxes. This is compared to the 15 percent of GDP raised by the United States through its individual income taxes and payroll taxes for instance. In order to raise a lot of income tax revenue, income tax rates in Scandinavian countries are rather high except for that of Norway. Denmark's top marginal effective income tax rate is 60.4 percent. Sweden's is 56.4 percent. Norway's top marginal tax rate is 39 percent. Scandinavian income taxes raise a lot of revenue because they are actually considered flat. In other words, they tax most people at high rates, not just the high-income taxpayers. The top marginal tax rate of 60 percent in Denmark applies to all income over 1.2 times the average income in Denmark. Sweden and Norway have similarly flat income tax systems. Sweden's top marginal tax rate of 56.9 percent applies to all income over 1.5 times the average income in Sweden. Norway's top marginal tax rate of 39 percent applies to all income over 1.6 times the average Norwegian income.
What is the affect of a per unit tax on marginal cost of production?
a per unit tax directly affects the marginal cost schedule by increasing the value of each marginal cost at each value by the amount of the tax
What is the tax percentage for 1099?
After you have completed your income tax return correctly you will know what your marginal tax rate is. The taxable amount from the 1099-R will be subject to income tax at that marginal tax rate.
What tax do wage earners have to pay federal government?
5000$
What is after cost of debt?
The after-tax cost of debt is predominantly based on marginal pretax costs, as well as marginal or statutory tax rates.
What is the income tax on 16000?
Multiply the taxable amount of 16000 by your marginal tax rate if your marginal tax rate is 10% then the income tax amount would be 1600. !6000 X .15 = 2500
If you win the Ohio lottery what percent do you have to pay?
What ever your marginal tax rates are. For 2009 and 2010 from 10% to the 35% maximum marginal tax rate for the federal income tax return.
What was the highest tax rate in US history?
The top marginal tax rate was reduced to 58% in 1922, to 25% in 1925, and finally to 24% in 1929. In 1932 the top marginal tax rate was increased to 63% during the Great Depression and steadily increased, reaching 94% (on all income over $200,000) in 1945. During World War II, Congress introduced payroll withholding and quarterly tax payments. Top marginal tax rates stayed near or above 90% until 1964 when the top marginal tax rate was lowered to 70%. The top marginal tax rate was lowered to 50% in 1982 and eventually to 28% in 1988. However, in the intervening years Congress subsequently increased the top marginal tax rate to 35% (the top marginal tax rate as of 2007).
Marginal Tax Rate Calculator?
Marginal Tax Rate Calculator Knowing your income tax rate can help you calculate your tax liability for unexpected income, retirement planning or investment income. This calculator helps you estimate your average tax rate, your current tax bracket, and your marginal tax rate for the 2010 tax year. Please note that this calculator uses the 2010 preliminary tax tables subject to change by the IRS.
What tax bracket will you be in with a 35000 income with no dependents?
The 10% and the 15% marginal tax brackets.
If you sell a painting how much tax do you pay?
The answer depends on your marginal tax rate, if you're selling the painting at a gain, and how long you've owned the painting. Your gain or loss on the painting is typically the amount you sold the painting for minus the amount you paid for the painting. You will only pay tax if you sell the painting at a gain. If your marginal tax rate is 28% or lower, you will likely pay tax at your marginal rate on the gain regardless of how long you've owned it. If your marginal tax rate is over 28%, you will pay 28% tax on the gain if you've owned the painting for over a year or pay tax at your marginal rate if you've owned the painting for less than a year.
What is the relevant tax rate for investment decisions?
Marginal Rate
Does the after tax cost of a deductible expense increase or decrease as the taxpayer's marginal income tax rate increases?
Decrease The higher the marginal rate, the more a person or firm is shielded from expenses.
