Leave it to lawyers and the govt to not be able to give a straight answer to this mystery! Unfortunately, in order to be permitted to wipe out a tax debt, alternatives here . five criteria that should be satisfied. But, it is a shocking fact. You pay less tax on the first dollars of earnings and better tax pertaining to your last smackeroos. Let us assume you are single and your taxable income sums up to $45,000 during 12 months 2010. Then you pay federal tax at the rate of 10 percent on ...