If Austin earns $18,000 per year and is in the 15% tax bracket, how much tax does he owe?

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Austin’s annual income is $18,000, and he falls into the 15% tax bracket for his income level. To calculate the tax owed, we will use a simple formula:

Tax Owed = Annual Income x Tax Rate

Substituting Austin’s figures into the equation, we get:

Tax Owed = $18,000 x 0.15

Now, performing the calculation:

Tax Owed = $2,700

Therefore, Austin owes $2,700 in taxes based on his annual income and the 15% tax rate.

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