Leonardo, Who Is Married but Files Separately, Earns $70,500 of Taxable

Multiple Choice

Leonardo, who is married but files separately, earns $70,500 of taxable income. He also has $19,400 in city of Tulsa bonds. His wife, Theresa, earns $54,400 of taxable income. If Leonardo and his wife are married filing jointly in 2020, what is Leonardo and Theresa's effective tax rate for 2020? (Use tax rate schedule.) (Round your final answer to two decimal places.)

A) 12.00 percent
B) 14.92 percent
C) 19.52 percent
D) 22.00 percent
E) None of the choices are correct.