Number 9
4 marks · NormalThe following people work in the country of Kalculus, with tax bands as below:
| Band | Salary (p.a.) | Tax rate |
|---|---|---|
| A | $0–$50,000 | 20% |
| B | >$50,000 | 40% |
| Person | Annual salary ($) |
|---|---|
| Jonas | 44,000 |
| Amira | 76,000 |
| Lola | 129,000 |
Complete the table below by calculating the annual income tax for each person.
Work this out on paper, then compare with the answer and worked solution below. With a free account you can submit written answers for marking.
Show answer
Must show: Jonas: $8,800, Amira: $21,400, Lola: $48,600
Common mistakes: Applying 40% to full salary instead of the part above $50,000.
Show mark scheme and worked solution
Marking points
M1 · 1 mark · Correctly apply tax rates for at least one individual.
M2 · 1 mark · Correctly split the taxable income into correct bands for higher incomes. (follow-through)
A1 · 1 mark · Accurately calculate at least two individuals’ tax. (follow-through)
B1 · 1 mark · All three annual tax values correct in the table. (follow-through)
Worked solution
| Person | Annual tax ($) |
|---|---|
| Jonas | 8,800 |
| Amira | 10,000 + (76,000-50,000) × 0.40 = 10,000 + 10,400 = 20,400 |
| Lola | 10,000 + (129,000-50,000) × 0.40 = 10,000 + 31,600 = 41,600 |