Refer to "In the News" below: In the News: The Obamas' Taxes Gross Income Deductions Wages $ 395,188 State/local taxes $ 52,527 Interest 8,066 Property taxes 25,742 Dividends 9,997 Mortgage interest 49,945 Tax refunds 1,151 Charity 245,075 Book royalties 1,382,889 Total allowed $ 373,289 Capital loss (3,000) Trust income 1,323 Total income $1,795,614 Adjustments Exemptions $ 14,600 Self-employment tax $ 18,518 Taxable income $1,340,207 Pension contribution 49,000 Tax $ 438,949 $ 67,518 Adjusted Gross Income $1,728,096 Source: White House (2010 returns). In 2010, what was the Obamas’ Instructions: Enter your responses as a percent rounded to two decimal places.
(a) Nominal tax rate? _____%
(b) Effective tax rate? _____ %