Let's break down the solution to find the state tax and the taxable income for Wayne Anthony, who earns $36,200 annually, given the state tax rate is 4%.
Step 1: Calculate the State Tax
The first step is to determine the amount Wayne has to pay in state taxes. The state tax rate is 4%, so we can calculate the state tax by multiplying his annual income by the tax rate.
State Tax = Annual Income × State Tax Rate
State Tax = [tex]$36,200 × 0.04$[/tex]
State Tax = [tex]$1,448.00$[/tex]
So, the state tax Wayne needs to pay is $1,448.
Step 2: Calculate the Taxable Income
Next, we need to calculate Wayne's taxable income after paying the state tax. This is done by subtracting the state tax from his annual income.
Taxable Income = Annual Income - State Tax
Taxable Income = [tex]$36,200 - $[/tex]1,448$
Taxable Income = [tex]$34,752.00$[/tex]
So, Wayne's taxable income, after accounting for the state tax, is $34,752.
Conclusion
The state tax Wayne Anthony needs to pay is [tex]$1,448.00, and his taxable income after deducting the state tax is $[/tex]34,752.00.
By following these straightforward calculations, we can ensure that Wayne meets his tax obligations correctly.
