Average
An average tax rate is the ratio of the amount of taxes paid to the tax base (taxable income or spending).
- To calculate the average tax rate on an income tax, divide total tax liability by taxable income:
- Let be the average tax rate.
- Let be the tax liability.
- Let be the taxable income.
Read more about this topic: Tax Rate
Famous quotes containing the word average:
“The average Southerner has the speech patterns of someone slipping in and out of consciousness. I can change my shoes and socks faster than most people in Mississippi can speak a sentence.”
—Bill Bryson (b. 1951)
“All the average human being asks is something he can call a home; a family that is fed and warm; and now and then a little happiness; once in a long while an extravagance.”
—Mother Jones (1830–1930)
“Here is a golden Rule.... Write legibly. The average temper of the human race would be perceptibly sweetened, if everybody obeyed this Rule!”
—Lewis Carroll [Charles Lutwidge Dodgson] (1832–1898)