The monthly income of Ram is Rs 40,000. If he paid Rs 8,000 as income tax. Find the rate of income tax.
1 answer:
Hello!
Rate of income tax = Tax paid / Monthly income
⇒ Rate = 8,000 / 40,000
⇒ Rate = 0.2
⇒ Rate = 20%
∴ The rate of income tax is 20%.
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