How do you calculate the tax rate?

Lucas Rodriguez | 2023-05-07 15:02:50 | page views:1532
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Charlotte Nelson

Studied at Stanford University, Lives in Palo Alto, CA
The most straightforward way to calculate effective tax rate is to divide the income tax expenses by the earnings (or income earned) before taxes. For example, if a company earned $100,000 and paid $25,000 in taxes, the effective tax rate is equal to 25,000 -- 100,000 or 0.25.
2023-05-07 15:02:50

Sophia Lewis

QuesHub.com delivers expert answers and knowledge to you.
The most straightforward way to calculate effective tax rate is to divide the income tax expenses by the earnings (or income earned) before taxes. For example, if a company earned $100,000 and paid $25,000 in taxes, the effective tax rate is equal to 25,000 -- 100,000 or 0.25.
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