Leonardo, Who Is Married but Files Separately, Earns $80,000 of Taxable

Multiple Choice

Leonardo, who is married but files separately, earns $80,000 of taxable income. He also has $15,000 in city of Tulsa bonds. His wife, Theresa, earns $50,000 of taxable income. If Leonardo earned an additional $30,000 of taxable income this year, what would be the marginal tax rate (rounded) on the extra income for year 2016?

A) 27.75%
B) 17.50%
C) 25.00%
D) 28.00%
E) None of these