If Statements

[acclenticularis]

I am having trouble with a statement. This is a tax problem. Taxes apply to a certain income threshhold and then no longer apply. I can do an IF statement to cut off the taxes, however, I cannot get it to cut off to the dollar. For example: Max taxes = $5.00

Date Income Taxes 25%(calculation of Income*tax rate)
1/1/05 $10.00 $2.50
2/1/05 $ 8.00 $2.00
3/1/05 $10.00 $0 Spits out because of the IF statement.
Total $28.00 $4.50

How can I get the amount under taxes to be $0.50 rather than $0?
The statement that I am using is:

IF(Total income*tax rate>=max tax,(0),income*tax rate)

Thanks

 

[Yogi Anand]

Hi acclent...

Welcome to MrExcel Board!

Here is one way ...

Book1
	A	B	C	D
1	Date	Income	Taxes 25%(calculation of Income*tax rate)
2	01/01/2005	$10.00	$2.50
3	02/01/2005	$8.00	$2.00
4	03/01/2005	$10.00	$0.50
5	Total
Sheet2

formula in cell C2 is ... =MIN(B2*0.25,5-SUM($C$1:$C1))

this is then copied down.

 

[benjee03]

use MIN function

try this formula:

=min(max tax,income*tax rate)

min chooses the lesser of the two: either the max tax ($5.00) or the applied tax rate

 

[acclenticularis]

Thank you so much benjee03 and Yogi Anand ... worked like a charm!