I am trying to solve a question regarding lottery winnings. As we all know that after a person wins a lottery amount, they don't always take the full amount. They get taxed in different brackets and I am trying to create a python program which tells us the amount that we are taxed on our winnngs.
Before any taxes are assessed, the winner is given a standard deduction of $6300 and a personal exemption of $4000. So before we find out how much amount is taxed, we find the taxable amount by the formula
taxablewinnings = winnings-(Standard Deduction+Personal Exemption)
After that the winning amount is categorized in these amount brackets.
$0 to $9,225----10%
$9,225 to $37,450----15%
$37,450 to $90,750----25%
$90,750 to $189,300----28%
$189,300 to $411,500----33%
$411,500 to $413,200----35%
$413,200+ ----39.6%
For example. If a person wins $54000 taxablewinnings = $54000-$6300-$4000 =$43,700 is the amount which will be taxed. Of that amount:
$9225 is taxed at 10% = $922.50 leaving $34,475 not yet taxed
$28,225 is taxed at 15% = $4233.75 leaving $6,250 not yet taxed
$6,250 is taxed at 25% = $1,562.50
Total owed = 922.5 + 4233.75 + 1562.5 = $6718.75 (or $6,719 rounded)
Here is my code.
winnings = float(input("Please enter your Winning amount"))
tax = 0
standardDeduction = 6300
personalExemption = 4000
taxablewinnings = winnings - (standardDeduction+personalExemption)
if taxablewinnings > 0 and taxablewinnings <= 9225:
rate1 = 9225*0.10
remainder1 = taxablewinnings-9225
if taxablewinnings > 9225 and taxablewinnings <= 37450:
rate2 = remainder1*0.15
remainder2 = taxablewinnings-37450
if taxablewinnings > 37450 and taxablewinnings <= 90750:
rate3 = remainder2*0.25
remainder3 = taxablewinnings-90750
if taxablewinnings > 90750 and taxablewinnings <= 189300:
rate4 = remainder3*0.28
remainder4 = taxablewinnings-189300
if taxablewinnings > 189300 and taxablewinnings <= 411500:
rate5 = remainder4*0.33
remainder5 = taxablewinnings-411500
if taxablewinnings > 411500 and taxablewinnings <= 413200:
rate6 = remainder5*0.33
remainder6 = taxablewinnings-413200
if taxablewinnings > 413200:
rate7 = remainder6*0.396
else:
print("Invalid winnings input")
if(winnings > 0):
print("Your tax is: $%f" % tax)
I am getting the error
rate3 = remainder2*0.25 NameError: name 'remainder2' is not defined
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