curtis just received a raise at work increasing his salary by $8,500. he knows that an increase in salary…

curtis just received a raise at work increasing his salary by $8,500. he knows that an increase in salary will increase the amount of federal income taxes withheld from his paycheck. which of the following statements best describes the effect his raise will have on state income tax withholdings?\na. state income tax is unrelated to federal, he will see no change in his state withholding.\nb. since he is having more withheld for federal, he will have less withheld for state so that he pays the same amount in the end.\nc. state income tax is usually a set percentage of federal income tax. with an increase in federal he will see an increase in state withholding.\nd. since he is making more money, the state government will take advantage of his raise and charge him more income tax. his state withholding will increase.\n\nplease select the best answer from the choices provided\n\n○ a\n○ b

curtis just received a raise at work increasing his salary by $8,500. he knows that an increase in salary will increase the amount of federal income taxes withheld from his paycheck. which of the following statements best describes the effect his raise will have on state income tax withholdings?\na. state income tax is unrelated to federal, he will see no change in his state withholding.\nb. since he is having more withheld for federal, he will have less withheld for state so that he pays the same amount in the end.\nc. state income tax is usually a set percentage of federal income tax. with an increase in federal he will see an increase in state withholding.\nd. since he is making more money, the state government will take advantage of his raise and charge him more income tax. his state withholding will increase.\n\nplease select the best answer from the choices provided\n\n○ a\n○ b

Answer

Brief Explanations:

To determine the correct answer, we analyze each option:

  • Option a: State income tax is often related to federal (e.g., some states base their tax on federal taxable income or use a percentage of federal tax), so this is incorrect.
  • Option b: Federal and state tax withholdings are separate; a higher federal withholding doesn't mean lower state. State tax depends on state tax rules (like income level or percentage of federal tax), so this is wrong.
  • Option c: Many states calculate state income tax as a percentage of federal income tax. When federal tax withholding increases (due to a raise), state withholding (being a percentage of federal) will also increase. This matches tax practices.
  • Option d: The state doesn't "take advantage"; state income tax is based on tax laws (e.g., progressive rates or percentage of federal), not arbitrary action. So this is incorrect.

Answer:

c. State income tax is usually a set percentage of federal income tax. With an increase in federal he will see an increase in state withholding.