there is 24% increase in income tax rate.it leads to 1%decrease in overall income.what is the rate of tax?

• If I is total taxable income and x is initial income tax rate, then
  
  I*(100-x)*0.99 = I*(100-1.24x)
  x= 4
  
  Hence initial income tax is 4%.
• 13 years agoHelpfull: Yes(6) No(1)
• Let total amount =100
  
  income tax rate =x%
  
  
  Then, income tax amount =x
  
  Net income
  =
  (
  100
  −
  x
  )
  
  
  Increase in income tax amount = decrease in net income. Therefore,
  
  24
  %
  of
  x
  
  =
  1
  %
  of
  (
  100
  −
  x
  )
  
  24
  x
  =
  100
  −
  x
  25
  x
  =
  100
  x=4
• 6 years agoHelpfull: Yes(0) No(2)