The tax rate for businesses was increased by half of 1%. If a business was paying $20 , 000 in taxes before the increase, how much would the business pay after the increase? Show work!

$20,000 + (0.005 x $20,000) = $20,100

After the increase, the business would pay $20,100 in taxes.

Did you know?

Did you know that even a small increase in the tax rate can have a significant impact on businesses? For example, let's say a business was originally paying $20,000 in taxes. If the tax rate is increased by half of 1%, or 0.5%, we can calculate the new amount they would have to pay. To determine the increase in taxes, we first find half of 1% of $20,000. 0.5% of $20,000 = (0.5/100) * $20,000 = $100 So, the increase in taxes would be $100. To find the new amount the business would have to pay, we simply add the increase to the original tax amount. $20,000 + $100 = $20,100 Therefore, after the increase, the business would have to pay $20,100 in taxes. This demonstrates how even a small increase in the tax rate can have a noticeable impact on businesses' financial obligations.