6-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Click on PDF or Excel link above for additional tables containing more detail and breakdowns by filing status and demographic groups.
Table T10-0205
Extend 15-Percent Rate on Dividends and Capital Gains to Taxpayers in Top 2 Tax Brackets
Distribution of Federal Tax Change by Cash Income Level, 2012 1
Summary Table
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Percent of Tax Units 3
With Tax Cut
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
19.3
69.4
84.6
1.5
With Tax
Increase
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Percent
Change in
After-Tax
Income 4
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.5
1.7
0.2
Share of Total
Federal Tax
Change
Average
Federal Tax
Change ($)
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
5.0
12.4
82.6
100.0
0
0
0
0
0
0
0
0
-188
-2,640
-34,719
-142
Average Federal Tax Rate 5
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.1
-0.4
-1.1
-0.2
Under the
Proposal
5.3
4.5
8.8
12.9
15.5
17.7
19.4
21.8
24.5
26.6
31.8
21.2
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-5).
Number of AMT Taxpayers (millions). Baseline: 4.3
Proposal: 4.3
(1) Calendar year. Baseline is the Administration's proposal to extend 2009 estate tax law and all 2001-03 individual income tax cuts other than the high-income
provisions relating to dividends and capital gains, the limitation on itemized deductions (Pease) and the personal exemption phaseout (PEP); and the top two statutory
income tax rates. Proposal extends the 15-percent tax rate on qualified dividends and capital gains to taxpayers in the 36 and 39.6 percent tax brackets, where the 36
percent bracket threshold has been adjusted under the baseline and proposal to $250,000 less the standard deduction and two personal exemptions for married couples,
$200,000 less the standard deduction and one personal exemption for singles, and an amount equal to the midpoint of the married and single thresholds for heads of
household, with the dollar values indexed for inflation after 2009.
(2) Tax units with negative cash income are excluded from the lowest income class but are included in the totals. For a description of cash income, see
http://www.taxpolicycenter.org/TaxModel/income.cfm
(3) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(4) After-tax income is cash income less: individual income tax net of refundable credits; corporate income tax; payroll taxes (Social Security and Medicare); and estate
tax.
(5) Average federal tax (includes individual and corporate income tax, payroll taxes for Social Security and Medicare, and the estate tax) as a percentage of average
cash income.
6-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0205
Extend 15-Percent Rate on Dividends and Capital Gains to Taxpayers in Top 2 Tax Brackets
Distribution of Federal Tax Change by Cash Income Level, 2012 1
Detail Table
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Percent of Tax Units 3
With Tax Cut
With Tax
Increase
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
19.3
69.4
84.6
1.5
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Percent Change
in After-Tax
Income 4
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.5
1.7
0.2
Share of Total
Federal Tax
Change
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
5.0
12.4
82.6
100.0
Average Federal Tax Change
Dollars
0
0
0
0
0
0
0
0
-188
-2,640
-34,719
-142
Percent
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.3
-1.4
-3.4
-0.9
Share of Federal Taxes
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.2
0.1
0.0
-0.5
0.0
Under the
Proposal
0.2
0.7
1.9
3.0
3.7
10.1
9.9
25.0
17.0
7.7
20.7
100.0
Average Federal Tax Rate5
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.1
-0.4
-1.1
-0.2
Under the
Proposal
5.3
4.5
8.8
12.9
15.5
17.7
19.4
21.8
24.5
26.6
31.8
21.2
Baseline Distribution of Income and Federal Taxes
by Cash Income Level, 2012 1
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Tax Units 3
Number
(thousands)
16,958
24,305
21,133
16,074
12,909
22,702
14,431
20,606
5,930
1,048
531
157,348
Percent of
Total
10.8
15.5
13.4
10.2
8.2
14.4
9.2
13.1
3.8
0.7
0.3
100.0
Average
Income
(Dollars)
5,723
15,533
25,808
36,190
46,615
64,099
90,195
141,257
296,062
704,969
3,114,004
76,169
Average
Federal Tax
Burden
(Dollars)
304
704
2,265
4,677
7,231
11,320
17,466
30,772
72,791
190,073
1,026,232
16,275
Average AfterTax Income 4
(Dollars)
5,419
14,829
23,543
31,513
39,384
52,780
72,729
110,485
223,271
514,897
2,087,772
59,894
Average
Federal Tax
Rate 5
5.3
4.5
8.8
12.9
15.5
17.7
19.4
21.8
24.6
27.0
33.0
21.4
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
0.8
3.2
4.6
4.9
5.0
12.1
10.9
24.3
14.7
6.2
13.8
100.0
1.0
3.8
5.3
5.4
5.4
12.7
11.1
24.2
14.1
5.7
11.8
100.0
0.2
0.7
1.9
2.9
3.6
10.0
9.8
24.8
16.9
7.8
21.3
100.0
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-5).
Number of AMT Taxpayers (millions). Baseline: 4.3
Proposal: 4.3
(1) Calendar year. Baseline is the Administration's proposal to extend 2009 estate tax law and all 2001-03 individual income tax cuts other than the high-income provisions relating to dividends and capital gains, the limitation on
itemized deductions (Pease) and the personal exemption phaseout (PEP); and the top two statutory income tax rates. Proposal extends the 15-percent tax rate on qualified dividends and capital gains to taxpayers in the 36 and 39.6
percent tax brackets, where the 36 percent bracket threshold has been adjusted under the baseline and proposal to $250,000 less the standard deduction and two personal exemptions for married couples, $200,000 less the standard
deduction and one personal exemption for singles, and an amount equal to the midpoint of the married and single thresholds for heads of household, with the dollar values indexed for inflation after 2009.
(2) Tax units with negative cash income are excluded from the lowest income class but are included in the totals. For a description of cash income, see
http://www.taxpolicycenter.org/TaxModel/income.cfm
(3) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(4) After-tax income is cash income less: individual income tax net of refundable credits; corporate income tax; payroll taxes (Social Security and Medicare); and estate tax.
(5) Average federal tax (includes individual and corporate income tax, payroll taxes for Social Security and Medicare, and the estate tax) as a percentage of average cash income.
6-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0205
Extend 15-Percent Rate on Dividends and Capital Gains to Taxpayers in Top 2 Tax Brackets
Distribution of Federal Tax Change by Cash Income Level, 2012 1
Detail Table - Single Tax Units
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Percent of Tax Units 3
With Tax Cut
With Tax
Increase
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
29.4
68.0
80.4
0.6
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Percent Change
in After-Tax
Income 4
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.2
0.8
1.9
0.2
Share of Total
Federal Tax
Change
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
9.0
14.8
76.2
100.0
Average Federal Tax Change
Dollars
0
0
0
0
0
0
0
0
-413
-3,898
-36,900
-52
Percent
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.5
-1.9
-3.5
-0.6
Share of Federal Taxes
Change (%
Points)
0.0
0.0
0.0
0.0
0.1
0.1
0.1
0.1
0.0
-0.1
-0.4
0.0
Under the
Proposal
0.9
3.0
6.0
7.5
8.5
18.8
11.9
17.7
9.4
4.3
11.9
100.0
Average Federal Tax Rate5
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.1
-0.6
-1.2
-0.1
Under the
Proposal
8.5
8.4
13.3
17.4
19.3
21.6
23.7
24.2
25.4
28.6
34.3
21.1
Baseline Distribution of Income and Federal Taxes
by Cash Income Level, 2012 1
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Tax Units 3
Number
(thousands)
Percent of
Total
12,161
14,889
11,204
7,555
6,018
8,766
3,599
3,384
787
138
75
68,932
17.6
21.6
16.3
11.0
8.7
12.7
5.2
4.9
1.1
0.2
0.1
100.0
Average
Income
(Dollars)
5,710
15,384
25,667
36,120
46,555
63,234
89,193
137,406
300,163
697,814
2,972,435
43,878
Average
Federal Tax
Burden
(Dollars)
482
1,286
3,405
6,301
8,993
13,661
21,116
33,293
76,691
203,095
1,056,085
9,304
Average AfterTax Income 4
(Dollars)
5,228
14,097
22,262
29,819
37,562
49,573
68,077
104,113
223,472
494,718
1,916,349
34,574
Average
Federal Tax
Rate 5
8.5
8.4
13.3
17.4
19.3
21.6
23.7
24.2
25.6
29.1
35.5
21.2
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
2.3
7.6
9.5
9.0
9.3
18.3
10.6
15.4
7.8
3.2
7.3
100.0
2.7
8.8
10.5
9.5
9.5
18.2
10.3
14.8
7.4
2.9
6.0
100.0
0.9
3.0
6.0
7.4
8.4
18.7
11.9
17.6
9.4
4.4
12.3
100.0
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-5).
(1) Calendar year. Baseline is the Administration's proposal to extend 2009 estate tax law and all 2001-03 individual income tax cuts other than the high-income provisions relating to dividends and capital gains, the limitation on
itemized deductions (Pease) and the personal exemption phaseout (PEP); and the top two statutory income tax rates. Proposal extends the 15-percent tax rate on qualified dividends and capital gains to taxpayers in the 36 and 39.6
percent tax brackets, where the 36 percent bracket threshold has been adjusted under the baseline and proposal to $250,000 less the standard deduction and two personal exemptions for married couples, $200,000 less the standard
deduction and one personal exemption for singles, and an amount equal to the midpoint of the married and single thresholds for heads of household, with the dollar values indexed for inflation after 2009.
(2) Tax units with negative cash income are excluded from the lowest income class but are included in the totals. For a description of cash income, see
http://www.taxpolicycenter.org/TaxModel/income.cfm
(3) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(4) After-tax income is cash income less: individual income tax net of refundable credits; corporate income tax; payroll taxes (Social Security and Medicare); and estate tax.
(5) Average federal tax (includes individual and corporate income tax, payroll taxes for Social Security and Medicare, and the estate tax) as a percentage of average cash income.
6-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0205
Extend 15-Percent Rate on Dividends and Capital Gains to Taxpayers in Top 2 Tax Brackets
Distribution of Federal Tax Change by Cash Income Level, 2012 1
Detail Table - Married Tax Units Filing Jointly
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Percent of Tax Units 3
With Tax Cut
With Tax
Increase
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
17.3
69.8
85.4
3.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Percent Change
in After-Tax
Income 4
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.5
1.6
0.3
Share of Total
Federal Tax
Change
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
4.0
12.3
83.7
100.0
Average Federal Tax Change
Dollars
0
0
0
0
0
0
0
0
-142
-2,430
-33,346
-283
Percent
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.2
-1.3
-3.3
-1.0
Share of Federal Taxes
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.3
0.2
0.0
-0.6
0.0
Under the
Proposal
0.0
0.1
0.3
0.7
1.2
5.4
8.5
28.7
20.8
9.5
24.6
100.0
Average Federal Tax Rate5
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.1
-0.3
-1.1
-0.2
Under the
Proposal
4.8
2.7
4.5
7.6
10.4
14.2
17.5
21.2
24.4
26.3
31.4
22.1
Baseline Distribution of Income and Federal Taxes
by Cash Income Level, 2012 1
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Tax Units 3
Number
(thousands)
Percent of
Total
2,172
4,097
4,842
4,391
4,095
9,883
9,149
16,193
4,941
876
435
61,357
3.5
6.7
7.9
7.2
6.7
16.1
14.9
26.4
8.1
1.4
0.7
100.0
Average
Income
(Dollars)
4,766
16,031
25,959
36,302
46,760
65,241
90,792
142,545
295,420
706,519
3,075,014
126,020
Average
Federal Tax
Burden
(Dollars)
226
437
1,176
2,743
4,884
9,270
15,843
30,234
72,133
188,128
998,834
28,105
Average AfterTax Income 4
(Dollars)
4,540
15,593
24,783
33,559
41,876
55,971
74,949
112,311
223,288
518,391
2,076,179
97,915
Average
Federal Tax
Rate 5
4.8
2.7
4.5
7.6
10.4
14.2
17.5
21.2
24.4
26.6
32.5
22.3
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
0.1
0.9
1.6
2.1
2.5
8.3
10.7
29.9
18.9
8.0
17.3
100.0
0.2
1.1
2.0
2.5
2.9
9.2
11.4
30.3
18.4
7.6
15.0
100.0
0.0
0.1
0.3
0.7
1.2
5.3
8.4
28.4
20.7
9.6
25.2
100.0
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-5).
(1) Calendar year. Baseline is the Administration's proposal to extend 2009 estate tax law and all 2001-03 individual income tax cuts other than the high-income provisions relating to dividends and capital gains, the limitation on
itemized deductions (Pease) and the personal exemption phaseout (PEP); and the top two statutory income tax rates. Proposal extends the 15-percent tax rate on qualified dividends and capital gains to taxpayers in the 36 and 39.6
percent tax brackets, where the 36 percent bracket threshold has been adjusted under the baseline and proposal to $250,000 less the standard deduction and two personal exemptions for married couples, $200,000 less the standard
deduction and one personal exemption for singles, and an amount equal to the midpoint of the married and single thresholds for heads of household, with the dollar values indexed for inflation after 2009.
(2) Tax units with negative cash income are excluded from the lowest income class but are included in the totals. For a description of cash income, see
http://www.taxpolicycenter.org/TaxModel/income.cfm
(3) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(4) After-tax income is cash income less: individual income tax net of refundable credits; corporate income tax; payroll taxes (Social Security and Medicare); and estate tax.
(5) Average federal tax (includes individual and corporate income tax, payroll taxes for Social Security and Medicare, and the estate tax) as a percentage of average cash income.
6-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0205
Extend 15-Percent Rate on Dividends and Capital Gains to Taxpayers in Top 2 Tax Brackets
Distribution of Federal Tax Change by Cash Income Level, 2012 1
Detail Table - Head of Household Tax Units
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Percent of Tax Units 3
With Tax Cut
With Tax
Increase
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
16.0
63.1
80.8
0.2
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Percent Change
in After-Tax
Income 4
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.5
1.7
0.1
Share of Total
Federal Tax
Change
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
5.3
13.3
81.4
100.0
Average Federal Tax Change
Dollars
0
0
0
0
0
0
0
0
-159
-2,501
-33,783
-18
Percent
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.2
-1.4
-3.4
-0.3
Share of Federal Taxes
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.1
0.0
0.0
-0.2
0.0
Under the
Proposal
-0.9
-3.2
1.8
9.2
11.3
27.5
17.7
18.8
7.5
2.9
7.4
100.0
Average Federal Tax Rate5
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.1
-0.4
-1.1
0.0
Under the
Proposal
-7.8
-5.7
2.1
9.6
14.1
17.4
20.3
22.9
24.0
25.3
32.4
13.9
Baseline Distribution of Income and Federal Taxes
by Cash Income Level, 2012 1
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Tax Units 3
Number
(thousands)
Percent of
Total
2,483
5,029
4,757
3,767
2,449
3,559
1,389
877
150
24
11
24,547
10.1
20.5
19.4
15.4
10.0
14.5
5.7
3.6
0.6
0.1
0.0
100.0
Average
Income
(Dollars)
6,647
15,579
25,971
36,157
46,569
63,082
89,214
132,993
294,130
686,382
2,985,055
41,760
Average
Federal Tax
Burden
(Dollars)
-520
-891
539
3,466
6,561
10,957
18,085
30,391
70,820
175,873
1,001,801
5,804
Average AfterTax Income 4
(Dollars)
7,167
16,470
25,432
32,691
40,008
52,125
71,128
102,602
223,310
510,508
1,983,254
35,956
Average
Federal Tax
Rate 5
-7.8
-5.7
2.1
9.6
14.1
17.4
20.3
22.9
24.1
25.6
33.6
13.9
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
1.6
7.6
12.1
13.3
11.1
21.9
12.1
11.4
4.3
1.6
3.2
100.0
2.0
9.4
13.7
14.0
11.1
21.0
11.2
10.2
3.8
1.4
2.4
100.0
-0.9
-3.1
1.8
9.2
11.3
27.4
17.6
18.7
7.5
3.0
7.6
100.0
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-5).
(1) Calendar year. Baseline is the Administration's proposal to extend 2009 estate tax law and all 2001-03 individual income tax cuts other than the high-income provisions relating to dividends and capital gains, the limitation on
itemized deductions (Pease) and the personal exemption phaseout (PEP); and the top two statutory income tax rates. Proposal extends the 15-percent tax rate on qualified dividends and capital gains to taxpayers in the 36 and 39.6
percent tax brackets, where the 36 percent bracket threshold has been adjusted under the baseline and proposal to $250,000 less the standard deduction and two personal exemptions for married couples, $200,000 less the standard
deduction and one personal exemption for singles, and an amount equal to the midpoint of the married and single thresholds for heads of household, with the dollar values indexed for inflation after 2009.
(2) Tax units with negative cash income are excluded from the lowest income class but are included in the totals. For a description of cash income, see
http://www.taxpolicycenter.org/TaxModel/income.cfm
(3) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(4) After-tax income is cash income less: individual income tax net of refundable credits; corporate income tax; payroll taxes (Social Security and Medicare); and estate tax.
(5) Average federal tax (includes individual and corporate income tax, payroll taxes for Social Security and Medicare, and the estate tax) as a percentage of average cash income.
6-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0205
Extend 15-Percent Rate on Dividends and Capital Gains to Taxpayers in Top 2 Tax Brackets
Distribution of Federal Tax Change by Cash Income Level, 2012 1
Detail Table - Tax Units with Children
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Percent of Tax Units 3
With Tax Cut
With Tax
Increase
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
17.2
73.4
88.0
2.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Percent Change
in After-Tax
Income 4
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.4
1.5
0.2
Share of Total
Federal Tax
Change
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
4.0
10.7
85.4
100.0
Average Federal Tax Change
Dollars
0
0
0
0
0
0
0
0
-108
-1,814
-30,993
-152
Percent
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.2
-0.9
-2.9
-0.8
Share of Federal Taxes
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.2
0.1
0.0
-0.5
0.0
Under the
Proposal
-0.2
-0.9
-0.1
1.4
2.3
7.7
9.9
28.9
20.6
8.9
21.5
100.0
Average Federal Tax Rate5
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.3
-1.0
-0.2
Under the
Proposal
-11.6
-9.4
-0.8
7.6
12.5
15.9
18.4
21.4
25.1
28.2
33.0
21.0
Baseline Distribution of Income and Federal Taxes
by Cash Income Level, 2012 1
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Tax Units 3
Number
(thousands)
Percent of
Total
2,968
5,639
5,683
4,891
3,849
7,425
5,841
9,319
2,750
441
206
49,155
6.0
11.5
11.6
10.0
7.8
15.1
11.9
19.0
5.6
0.9
0.4
100.0
Average
Income
(Dollars)
6,252
15,769
25,918
36,161
46,701
64,368
90,740
142,137
293,742
705,334
3,105,769
95,419
Average
Federal Tax
Burden
(Dollars)
-726
-1,488
-196
2,763
5,858
10,216
16,666
30,472
73,712
200,359
1,056,829
20,173
Average AfterTax Income 4
(Dollars)
6,978
17,257
26,114
33,398
40,843
54,152
74,073
111,665
220,031
504,975
2,048,940
75,246
Average
Federal Tax
Rate 5
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
-11.6
-9.4
-0.8
7.6
12.5
15.9
18.4
21.4
25.1
28.4
34.0
21.1
0.4
1.9
3.1
3.8
3.8
10.2
11.3
28.2
17.2
6.6
13.7
100.0
0.6
2.6
4.0
4.4
4.3
10.9
11.7
28.1
16.4
6.0
11.4
100.0
-0.2
-0.9
-0.1
1.4
2.3
7.7
9.8
28.6
20.4
8.9
22.0
100.0
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-5).
Note: Tax units with children are those claiming an exemption for children at home or away from home.
(1) Calendar year. Baseline is the Administration's proposal to extend 2009 estate tax law and all 2001-03 individual income tax cuts other than the high-income provisions relating to dividends and capital gains, the limitation on
itemized deductions (Pease) and the personal exemption phaseout (PEP); and the top two statutory income tax rates. Proposal extends the 15-percent tax rate on qualified dividends and capital gains to taxpayers in the 36 and 39.6
percent tax brackets, where the 36 percent bracket threshold has been adjusted under the baseline and proposal to $250,000 less the standard deduction and two personal exemptions for married couples, $200,000 less the standard
deduction and one personal exemption for singles, and an amount equal to the midpoint of the married and single thresholds for heads of household, with the dollar values indexed for inflation after 2009.
(2) Tax units with negative cash income are excluded from the lowest income class but are included in the totals. For a description of cash income, see
http://www.taxpolicycenter.org/TaxModel/income.cfm
(3) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(4) After-tax income is cash income less: individual income tax net of refundable credits; corporate income tax; payroll taxes (Social Security and Medicare); and estate tax.
(5) Average federal tax (includes individual and corporate income tax, payroll taxes for Social Security and Medicare, and the estate tax) as a percentage of average cash income.
6-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0205
Extend 15-Percent Rate on Dividends and Capital Gains to Taxpayers in Top 2 Tax Brackets
Distribution of Federal Tax Change by Cash Income Level, 2012 1
Detail Table - Elderly Tax Units
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Percent of Tax Units 3
With Tax Cut
With Tax
Increase
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
21.3
66.9
86.4
1.7
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Percent Change
in After-Tax
Income 4
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.2
0.9
2.1
0.4
Share of Total
Federal Tax
Change
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
6.2
15.5
78.3
100.0
Average Federal Tax Change
Dollars
0
0
0
0
0
0
0
-1
-399
-4,572
-42,976
-237
Percent
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.6
-2.5
-4.2
-1.8
Share of Federal Taxes
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.3
0.2
-0.1
-0.8
0.0
Under the
Proposal
0.1
0.6
1.4
1.6
1.7
7.0
7.3
18.6
19.0
10.8
31.9
100.0
Average Federal Tax Rate5
Change (%
Points)
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
-0.1
-0.6
-1.4
-0.3
Under the
Proposal
3.1
2.5
4.4
5.9
6.6
10.0
13.2
17.8
22.4
25.0
31.5
17.5
Baseline Distribution of Income and Federal Taxes
by Cash Income Level, 2012 1
Cash Income Level
(thousands of 2009
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Tax Units 3
Number
(thousands)
Percent of
Total
2,305
6,471
5,084
2,999
2,259
4,405
2,504
2,986
1,128
245
132
30,543
7.6
21.2
16.7
9.8
7.4
14.4
8.2
9.8
3.7
0.8
0.4
100.0
Average
Income
(Dollars)
6,366
15,655
25,560
36,054
46,537
64,489
89,136
141,589
304,121
709,954
3,095,895
75,737
Average
Federal Tax
Burden
(Dollars)
196
389
1,111
2,118
3,088
6,472
11,780
25,148
68,552
182,352
1,019,517
13,490
Average AfterTax Income 4
(Dollars)
6,170
15,265
24,449
33,937
43,449
58,017
77,356
116,442
235,570
527,603
2,076,378
62,248
Average
Federal Tax
Rate 5
3.1
2.5
4.4
5.9
6.6
10.0
13.2
17.8
22.5
25.7
32.9
17.8
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
0.6
4.4
5.6
4.7
4.5
12.3
9.7
18.3
14.8
7.5
17.7
100.0
0.8
5.2
6.5
5.4
5.2
13.4
10.2
18.3
14.0
6.8
14.4
100.0
0.1
0.6
1.4
1.5
1.7
6.9
7.2
18.2
18.8
10.9
32.7
100.0
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-5).
Note: Elderly tax units are those with either head or spouse (if filing jointly) age 65 or older.
(1) Calendar year. Baseline is the Administration's proposal to extend 2009 estate tax law and all 2001-03 individual income tax cuts other than the high-income provisions relating to dividends and capital gains, the limitation on
itemized deductions (Pease) and the personal exemption phaseout (PEP); and the top two statutory income tax rates. Proposal extends the 15-percent tax rate on qualified dividends and capital gains to taxpayers in the 36 and 39.6
percent tax brackets, where the 36 percent bracket threshold has been adjusted under the baseline and proposal to $250,000 less the standard deduction and two personal exemptions for married couples, $200,000 less the standard
deduction and one personal exemption for singles, and an amount equal to the midpoint of the married and single thresholds for heads of household, with the dollar values indexed for inflation after 2009.
(2) Tax units with negative cash income are excluded from the lowest income class but are included in the totals. For a description of cash income, see
http://www.taxpolicycenter.org/TaxModel/income.cfm
(3) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(4) After-tax income is cash income less: individual income tax net of refundable credits; corporate income tax; payroll taxes (Social Security and Medicare); and estate tax.
(5) Average federal tax (includes individual and corporate income tax, payroll taxes for Social Security and Medicare, and the estate tax) as a percentage of average cash income.