Arithmetic

Area : Math. Type : Individual. Level : Second cycle of ESO.

A person receives a monthly salary of €1,400, collects bank interest of €200 this year, and has also sold a garage this year for €20,000 that had cost €15,000. Calculate the income that will be included in the Personal Income Tax this year.

• How much will you pay for Personal Income Tax knowing that:

  • For incomes between 1 and 12,449 euros, the rate is 19%.

  • For incomes between 12,450 and 20,199 euros, the rate is 24%.

  • For incomes between 20,200 and 35,199 euros, the rate is 30%.

  • For incomes between 35,200 and 59,999 euros, the rate is 37%.

  • For incomes between 60,000 and 299,999 euros, the rate is 45%.

  • For incomes above 300,000 euros, the rate is 47%.

• How much personal income tax will someone who earns 2,400 euros a month, receives 200 euros in bank interest this year, and has also sold two garages this year, each for 14,000 euros, even though each garage cost 12,000 euros, pay?

• Draw conclusions from these two examples regarding the progressivity of the Personal Income Tax. Does the second person have twice as much income as the first? Does the second person pay twice as much as the first for Personal Income Tax? Paying more than double? Paying less than double?

• Of every euro the State receives, 47% is allocated to Social Security, Healthcare, and Social Promotion. If 60% of this allocation goes to Social Security, 30% to Health, and 10% to Social Promotion, what percentage does the State allocate to each of these concepts?