human
John has to pay taxes. He earned $100,000 for the year. He has $30,000 in deductions. The first $20,000 of taxable income is taxed at 10%. The rest is taxed at 20%. How much does he pay in taxes?
assistant
How much is John's taxable income? ** His taxable income is 100,000-30,000=$<<100000-30000=70000>>70,000
How much does John pay in taxes at the lower rate? ** So he pays 20,000*.1=$<<20000*.1=2000>>2000 tax at the lower rate
How much does John pay in taxes at the higher rate? ** He has to pay 70,000-20,000=$<<70000-20000=50000>>50,000 at the higher rate
How much does John pay in taxes at the higher rate? ** The taxes for that is 50,000*.2=$<<50000*.2=10000>>10,000
How much does John pay in taxes? ** So his total tax bill is 10,000+2,000=$<<10000+2000=12000>>12,000
#### 12000