Based on the following tax rates for the 2015 financial year

Based on the following tax rates for the 2015 financial year, please calculate the tax liability on the taxable income of $68,000. Please exclude both the Medicare Levy and any tax offset in your calculation. Taxable income Tax on this income 0 $18,200 Nil $18,201 - $37,000 19c for each $1 over $18,200 $37,001 - $80,000 $3,572 plus 32.5c for each $1 over $37,000 $80,001 $180,000 $17,547 plus 37c for each $1 over $80,000 $180,001 and over $54,547 plus 45c for each $1 over $180,000

Solution

Tax liability = 3572+(68000-37000)*0.325= 13647