Quote:
Originally Posted by woj
how is that even possible? 47%? wtf?
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Pretty simple. Say you are married have 2 kids under 17. Income $31,000
standard deduction $11,400
dependants( 4 X $3650 )$14,600
Child tax credit ( 2 X $1000 )$2000
earned income credit $3000
total dedecutions and credits= $31,000
Income $31,000 - Dedecutons $31,000 = $0 in taxable income.
That's not counting other possible deductions just the most basic ones.