Income Tax
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Alice earns an annual salary of \(\$92\,400\) and has collected \(\$2400\) in bank interest. She has allowable deductions of \(\$580\). Use the tax table below.
Tax table (2026–27 resident tax rates):
| Taxable income | Tax payable |
|---|---|
| \(\$0\) – \(\$18\,200\) | Nil |
| \(\$18\,201\) – \(\$45\,000\) | \(15\) cents for each \(\$1\) over \(\$18\,200\) |
| \(\$45\,001\) – \(\$135\,000\) | \(\$4020\) plus \(30\) cents for each \(\$1\) over \(\$45\,000\) |
| \(\$135\,001\) – \(\$190\,000\) | \(\$31\,020\) plus \(37\) cents for each \(\$1\) over \(\$135\,000\) |
| \(\$190\,001\) and over | \(\$51\,370\) plus \(45\) cents for each \(\$1\) over \(\$190\,000\) |
(i) Calculate Alice's taxable income.
(ii) Calculate Alice's income tax.
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