9-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 T10-0202
Extend 2009 Estate Tax Law
Distribution of Federal Tax Change by Cash Income Percentile, 2012 1
Summary Table
Percent of Tax Units4
Cash Income Percentile2,3
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
With Tax
Increase
Percent
Change in
After-Tax
Income5
Share of Total
Federal Tax
Change
Average
Federal Tax
Change ($)
Average Federal Tax Rate6
Change (%
Points)
Under the
Proposal
0.0
0.0
0.0
0.1
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.2
0.3
0.2
0.6
1.7
10.6
18.3
68.6
100.0
-3
-9
-58
-119
-511
-110
0.0
0.0
-0.1
-0.1
-0.2
-0.1
4.6
10.3
16.4
19.3
26.1
21.4
0.1
0.1
0.2
0.4
0.6
0.0
0.0
0.0
0.0
0.0
0.2
0.2
0.4
0.2
0.0
16.0
11.2
26.2
15.1
1.0
-237
-340
-977
-2,210
-1,403
-0.2
-0.2
-0.3
-0.1
0.0
21.8
23.0
25.1
31.6
34.9
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
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 current law plus an AMT patch; extension of the 10, 25, and 28 percent tax rates, marriage penalty relief, child tax credit, child and
dependent care credit, student loan interest deduction; 0%/15% rate on capital gains and qualified dividends except for taxpayers in the top two brackets; and repeal of
Pease and PEP for taxpayers with incomes less than $250,000 married/$200,000 for others. Proposal would extend 2009 estate tax law ($3.5 million effective
exemption not indexed for inflation, 45 percent rate, replacing credit for state-level wealth transfer taxes with a deduction, and repeal of the 5 percent bubble).
(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) The cash income percentile classes used in this table are based on the income distribution for the entire population and contain an equal number of people, not tax
units. The breaks are (in 2009 dollars): 20% $19,356, 40% $37,493, 60% $65,656, 80% $111,659, 90% $161,739, 95% $226,402, 99% $599,181, 99.9% $2,727,123.
(4) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(5) 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.
(6) 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.
9-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0202
Extend 2009 Estate Tax Law
Distribution of Federal Tax Change by Cash Income Percentile, 2012
Detail Table
Cash Income
Percentile 2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent of Tax Units 4
With Tax Cut
With Tax
Increase
Percent
Change in
After-Tax
Income 5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Percent
1
Share of Federal Taxes
Change (%
Points)
Under the
Proposal
Average Federal Tax Rate
Change (%
Points)
6
Under the
Proposal
0.0
0.0
0.0
0.1
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.2
0.3
0.2
0.6
1.7
10.6
18.3
68.6
100.0
-3
-9
-58
-119
-511
-110
-0.5
-0.3
-0.7
-0.7
-0.7
-0.7
0.0
0.0
0.0
0.0
0.0
0.0
0.8
4.0
10.7
17.9
66.5
100.0
0.0
0.0
-0.1
-0.1
-0.2
-0.1
4.6
10.3
16.4
19.3
26.1
21.4
0.1
0.1
0.2
0.4
0.6
0.0
0.0
0.0
0.0
0.0
0.2
0.2
0.4
0.2
0.0
16.0
11.2
26.2
15.1
1.0
-237
-340
-977
-2,210
-1,403
-0.8
-0.8
-1.1
-0.4
-0.1
0.0
0.0
-0.1
0.1
0.1
13.8
10.1
15.8
26.8
13.7
-0.2
-0.2
-0.3
-0.1
0.0
21.8
23.0
25.1
31.6
34.9
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
by Cash Income Percentile, 2012 1
Cash Income
Percentile 2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Tax Units4
Number
(thousands)
Percent of
Total
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average AfterTax Income5
(Dollars)
Average
Federal Tax
Rate6
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
38,450
34,947
31,868
26,646
23,298
157,348
24.4
22.2
20.3
16.9
14.8
100.0
11,600
28,852
52,224
88,978
280,229
76,169
536
2,970
8,617
17,314
73,580
16,385
11,064
25,882
43,606
71,663
206,649
59,783
4.6
10.3
16.5
19.5
26.3
21.5
3.7
8.4
13.9
19.8
54.5
100.0
4.5
9.6
14.8
20.3
51.2
100.0
0.8
4.0
10.7
17.9
66.5
100.0
11,720
5,734
4,655
1,190
120
7.5
3.6
3.0
0.8
0.1
138,385
196,549
345,574
1,825,188
8,367,274
30,374
45,450
87,780
579,221
2,918,928
108,011
151,099
257,795
1,245,967
5,448,346
22.0
23.1
25.4
31.7
34.9
13.5
9.4
13.4
18.1
8.4
13.5
9.2
12.8
15.8
7.0
13.8
10.1
15.9
26.7
13.6
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
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 current law plus an AMT patch; extension of the 10, 25, and 28 percent tax rates, marriage penalty relief, child tax credit, child and dependent care credit, student loan interest deduction;
0%/15% rate on capital gains and qualified dividends except for taxpayers in the top two brackets; and repeal of Pease and PEP for taxpayers with incomes less than $250,000 married/$200,000 for others. Proposal would
extend 2009 estate tax law ($3.5 million effective exemption not indexed for inflation, 45 percent rate, replacing credit for state-level wealth transfer taxes with a deduction, and repeal of the 5 percent bubble).
(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) The cash income percentile classes used in this table are based on the income distribution for the entire population and contain an equal number of people, not tax units. The breaks are (in 2009 dollars): 20% $19,356, 40%
$37,493, 60% $65,656, 80% $111,659, 90% $161,739, 95% $226,402, 99% $599,181, 99.9% $2,727,123.
(4) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(5) 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.
(6) 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.
9-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0202
Extend 2009 Estate Tax Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2012
Detail Table
Percent of Tax Units 4
Cash Income Percentile2,3
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
With Tax
Increase
Percent Change
in After-Tax
Income5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
1
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
Average Federal Tax Rate 6
Change (%
Points)
Under the
Proposal
0.0
0.0
0.0
0.0
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.3
0.2
0.3
0.8
5.3
8.7
84.4
100.0
-2
-5
-30
-50
-490
-110
-1.6
-0.2
-0.4
-0.3
-0.8
-0.7
0.0
0.0
0.0
0.1
-0.1
0.0
0.1
2.8
8.5
17.1
71.3
100.0
0.0
0.0
-0.1
-0.1
-0.2
-0.1
1.0
8.5
15.1
18.9
25.9
21.4
0.1
0.1
0.3
0.6
0.8
0.0
0.0
0.0
0.0
0.0
0.2
0.2
0.4
0.3
0.1
13.4
12.1
33.1
25.9
2.4
-155
-278
-968
-3,132
-2,886
-0.6
-0.7
-1.3
-0.6
-0.1
0.0
0.0
-0.1
0.0
0.1
15.1
11.4
17.0
27.8
14.1
-0.1
-0.2
-0.3
-0.2
0.0
21.9
23.2
24.9
31.3
34.6
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
by Cash Income Percentile Adjusted for Family Size, 2012
Tax Units4
2,3
Cash Income Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Number
(thousands)
Percent of
Total
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average AfterTax Income5
(Dollars)
Average
Federal Tax
Rate6
1
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
31,706
32,349
31,237
29,980
29,936
157,348
20.2
20.6
19.9
19.1
19.0
100.0
10,935
26,208
46,322
77,565
235,547
76,169
114
2,221
7,000
14,691
61,468
16,385
10,821
23,987
39,322
62,875
174,080
59,783
1.0
8.5
15.1
18.9
26.1
21.5
2.9
7.1
12.1
19.4
58.8
100.0
3.7
8.3
13.1
20.0
55.4
100.0
0.1
2.8
8.5
17.1
71.4
100.0
15,019
7,540
5,940
1,436
142
9.6
4.8
3.8
0.9
0.1
117,658
167,170
294,212
1,584,726
7,360,192
25,937
38,973
74,106
498,847
2,546,360
91,720
128,197
220,106
1,085,879
4,813,832
22.0
23.3
25.2
31.5
34.6
14.7
10.5
14.6
19.0
8.7
14.6
10.3
13.9
16.6
7.3
15.1
11.4
17.1
27.8
14.1
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
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 current law plus an AMT patch; extension of the 10, 25, and 28 percent tax rates, marriage penalty relief, child tax credit, child and dependent care credit, student loan interest deduction; 0%/15% rate
on capital gains and qualified dividends except for taxpayers in the top two brackets; and repeal of Pease and PEP for taxpayers with incomes less than $250,000 married/$200,000 for others. Proposal would extend 2009 estate
tax law ($3.5 million effective exemption not indexed for inflation, 45 percent rate, replacing credit for state-level wealth transfer taxes with a deduction, and repeal of the 5 percent bubble).
(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) The cash income percentile classes used in this table are based on the income distribution for the entire population and contain an equal number of people, not tax units. The incomes used are adjusted for family size by dividing
by the square root of the number of people in the tax unit. The resulting percentile breaks are (in 2009 dollars): 20% $13,219, 40% $24,782, 60% $41,864, 80% $68,188, 90% $97,830, 95% $138,709, 99% $361,983, 99.9%
$1,670,467.
(4) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(5) 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.
(6) 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.
9-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0202
Extend 2009 Estate Tax Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2012
Detail Table - Single Tax Units
Cash Income
Percentile 2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent of Tax Units 4
With Tax Cut
With Tax
Increase
Percent
Change in
After-Tax
Income 5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
1
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
Average Federal Tax Rate
Change (%
Points)
6
Under the
Proposal
0.0
0.0
0.0
0.1
0.3
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.2
0.3
1.2
0.6
0.3
0.4
5.9
9.0
84.2
100.0
-2
-4
-62
-114
-1,287
-213
-0.4
-0.2
-1.1
-1.0
-3.1
-2.2
0.0
0.1
0.2
0.3
-0.6
0.0
1.6
5.1
12.6
20.9
59.6
100.0
0.0
0.0
-0.2
-0.2
-0.9
-0.5
7.1
10.7
16.9
20.8
26.2
21.2
0.2
0.3
0.7
1.4
1.5
0.0
0.0
0.0
0.0
0.0
0.7
0.9
1.8
1.3
0.1
15.1
13.0
32.9
23.2
0.9
-437
-803
-2,692
-9,412
-4,301
-2.2
-2.7
-5.1
-2.7
-0.2
0.0
-0.1
-0.4
-0.1
0.2
15.5
10.7
14.0
19.5
9.6
-0.5
-0.7
-1.3
-0.9
-0.1
23.3
24.3
24.4
32.6
37.2
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
by Cash Income Percentile Adjusted for Family Size, 2012
Cash Income
2,3
Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Tax Units
4
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average After5
Tax Income
(Dollars)
Average
Federal Tax
Rate6
1
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
Number
(thousands)
Percent of
Total
16,972
15,474
14,005
11,543
9,596
68,932
24.6
22.5
20.3
16.8
13.9
100.0
8,380
19,970
34,261
55,833
151,979
43,878
595
2,136
5,846
11,723
41,147
9,517
7,786
17,834
28,416
44,110
110,832
34,361
7.1
10.7
17.1
21.0
27.1
21.7
4.7
10.2
15.9
21.3
48.2
100.0
5.6
11.7
16.8
21.5
44.9
100.0
1.5
5.0
12.5
20.6
60.2
100.0
5,066
2,373
1,795
361
32
7.4
3.4
2.6
0.5
0.1
84,037
119,032
204,548
1,060,631
5,243,107
20,048
29,751
52,533
355,539
1,956,097
63,990
89,280
152,015
705,092
3,287,009
23.9
25.0
25.7
33.5
37.3
14.1
9.3
12.1
12.7
5.5
13.7
9.0
11.5
10.8
4.4
15.5
10.8
14.4
19.6
9.4
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-5).
(1). Calendar year. Baseline is current law plus an AMT patch; extension of the 10, 25, and 28 percent tax rates, marriage penalty relief, child tax credit, child and dependent care credit, student loan interest deduction;
0%/15% rate on capital gains and qualified dividends except for taxpayers in the top two brackets; and repeal of Pease and PEP for taxpayers with incomes less than $250,000 married/$200,000 for others. Proposal would
extend 2009 estate tax law ($3.5 million effective exemption not indexed for inflation, 45 percent rate, replacing credit for state-level wealth transfer taxes with a deduction, and repeal of the 5 percent bubble).
(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) The cash income percentile classes used in this table are based on the income distribution for the entire population and contain an equal number of people, not tax units. The incomes used are adjusted for family size by
dividing by the square root of the number of people in the tax unit. The resulting percentile breaks are (in 2009 dollars): 20% $13,219, 40% $24,782, 60% $41,864, 80% $68,188, 90% $97,830, 95% $138,709, 99% $361,983,
99.9% $1,670,467.
(4) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(5) 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.
(6) 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.
9-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0202
Extend 2009 Estate Tax Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2012
Detail Table - Married Tax Units Filing Jointly
Cash Income
Percentile 2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent of Tax Units 4
With Tax Cut
With Tax
Increase
Percent
Change in
After-Tax
Income 5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
1
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
Average Federal Tax Rate
Change (%
Points)
6
Under the
Proposal
0.0
0.0
0.0
0.0
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.8
3.3
1.7
6.1
87.1
100.0
-3
-9
-4
-10
-112
-39
-2.4
-0.3
0.0
-0.1
-0.2
-0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
1.4
5.4
14.8
78.3
100.0
0.0
0.0
0.0
0.0
0.0
0.0
0.8
7.8
13.5
17.8
25.8
22.3
0.0
0.0
0.1
0.3
0.6
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.1
3.4
6.0
34.6
43.1
11.0
-9
-30
-213
-1,019
-2,585
0.0
-0.1
-0.3
-0.2
-0.1
0.0
0.0
0.0
0.0
0.0
15.2
12.3
19.1
31.8
15.9
0.0
0.0
-0.1
-0.1
0.0
21.3
22.8
25.0
30.9
34.0
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
by Cash Income Percentile Adjusted for Family Size, 2012
Cash Income
2,3
Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Tax Units
4
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average After5
Tax Income
(Dollars)
Average
Federal Tax
Rate6
1
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
Number
(thousands)
Percent of
Total
6,622
8,956
11,470
15,032
18,609
61,357
10.8
14.6
18.7
24.5
30.3
100.0
14,526
33,405
59,671
95,023
281,842
126,020
118
2,624
8,078
16,945
72,694
28,144
14,408
30,780
51,593
78,078
209,149
97,876
0.8
7.9
13.5
17.8
25.8
22.3
1.2
3.9
8.9
18.5
67.8
100.0
1.6
4.6
9.9
19.5
64.8
100.0
0.1
1.4
5.4
14.8
78.3
100.0
8,860
4,843
3,890
1,015
102
14.4
7.9
6.3
1.7
0.2
138,312
192,091
337,723
1,748,464
7,890,377
29,506
43,780
84,720
541,436
2,685,947
108,806
148,311
253,002
1,207,028
5,204,430
21.3
22.8
25.1
31.0
34.0
15.9
12.0
17.0
23.0
10.5
16.1
12.0
16.4
20.4
8.9
15.1
12.3
19.1
31.8
15.9
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-5).
(1). Calendar year. Baseline is current law plus an AMT patch; extension of the 10, 25, and 28 percent tax rates, marriage penalty relief, child tax credit, child and dependent care credit, student loan interest deduction;
0%/15% rate on capital gains and qualified dividends except for taxpayers in the top two brackets; and repeal of Pease and PEP for taxpayers with incomes less than $250,000 married/$200,000 for others. Proposal would
extend 2009 estate tax law ($3.5 million effective exemption not indexed for inflation, 45 percent rate, replacing credit for state-level wealth transfer taxes with a deduction, and repeal of the 5 percent bubble).
(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) The cash income percentile classes used in this table are based on the income distribution for the entire population and contain an equal number of people, not tax units. The incomes used are adjusted for family size by
dividing by the square root of the number of people in the tax unit. The resulting percentile breaks are (in 2009 dollars): 20% $13,219, 40% $24,782, 60% $41,864, 80% $68,188, 90% $97,830, 95% $138,709, 99% $361,983,
99.9% $1,670,467.
(4) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(5) 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.
(6) 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.
9-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0202
Extend 2009 Estate Tax Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2012
Detail Table - Head of Household Tax Units
Cash Income
Percentile 2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent of Tax Units 4
With Tax Cut
With Tax
Increase
Percent
Change in
After-Tax
Income 5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
1
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
Average Federal Tax Rate
Change (%
Points)
6
Under the
Proposal
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.2
2.1
6.8
19.1
71.5
100.0
0
-1
-4
-18
-154
-11
0.0
0.0
-0.1
-0.1
-0.4
-0.2
0.0
0.0
0.0
0.0
-0.1
0.0
-5.3
9.6
27.5
29.4
38.7
100.0
0.0
0.0
0.0
0.0
-0.1
0.0
-7.2
6.0
15.3
19.7
24.9
13.9
0.0
0.1
0.1
0.2
0.4
0.0
0.0
0.0
0.0
0.0
0.0
0.2
0.2
0.2
0.0
10.8
16.5
26.8
17.5
0.8
-36
-190
-416
-1,420
-707
-0.1
-0.5
-0.6
-0.3
0.0
0.0
0.0
0.0
0.0
0.0
14.5
5.8
7.9
10.4
5.0
0.0
-0.1
-0.2
-0.1
0.0
22.8
23.2
23.6
31.6
34.8
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
by Cash Income Percentile Adjusted for Family Size, 2012
Cash Income
2,3
Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Tax Units
4
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average After5
Tax Income
(Dollars)
Average
Federal Tax
Rate6
1
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
Number
(thousands)
Percent of
Total
7,840
7,497
5,095
2,777
1,242
24,547
31.9
30.5
20.8
11.3
5.1
100.0
13,490
30,617
50,275
76,881
178,521
41,760
-966
1,831
7,680
15,125
44,581
5,815
14,455
28,786
42,595
61,756
133,940
35,945
-7.2
6.0
15.3
19.7
25.0
13.9
10.3
22.4
25.0
20.8
21.6
100.0
12.8
24.5
24.6
19.4
18.9
100.0
-5.3
9.6
27.4
29.4
38.8
100.0
805
232
173
33
3
3.3
0.9
0.7
0.1
0.0
112,763
154,893
278,418
1,423,600
6,950,503
25,734
36,085
65,990
451,222
2,420,900
87,028
118,808
212,428
972,377
4,529,604
22.8
23.3
23.7
31.7
34.8
8.9
3.5
4.7
4.6
2.0
7.9
3.1
4.2
3.6
1.5
14.5
5.9
8.0
10.5
4.9
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-5).
(1). Calendar year. Baseline is current law plus an AMT patch; extension of the 10, 25, and 28 percent tax rates, marriage penalty relief, child tax credit, child and dependent care credit, student loan interest deduction;
0%/15% rate on capital gains and qualified dividends except for taxpayers in the top two brackets; and repeal of Pease and PEP for taxpayers with incomes less than $250,000 married/$200,000 for others. Proposal would
extend 2009 estate tax law ($3.5 million effective exemption not indexed for inflation, 45 percent rate, replacing credit for state-level wealth transfer taxes with a deduction, and repeal of the 5 percent bubble).
(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) The cash income percentile classes used in this table are based on the income distribution for the entire population and contain an equal number of people, not tax units. The incomes used are adjusted for family size by
dividing by the square root of the number of people in the tax unit. The resulting percentile breaks are (in 2009 dollars): 20% $13,219, 40% $24,782, 60% $41,864, 80% $68,188, 90% $97,830, 95% $138,709, 99% $361,983,
99.9% $1,670,467.
(4) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(5) 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.
(6) 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.
9-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0202
Extend 2009 Estate Tax Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2012
Detail Table - Tax Units with Children
Percent of Tax Units 4
Cash Income Percentile2,3
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
With Tax
Increase
Percent Change
in After-Tax
Income5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
1
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
Average Federal Tax Rate 6
Change (%
Points)
Under the
Proposal
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
1.2
3.5
18.1
76.4
100.0
0
-1
-2
-11
-55
-12
0.0
0.0
0.0
-0.1
-0.1
-0.1
0.0
0.0
0.0
0.0
0.0
0.0
-1.3
2.2
9.9
19.8
69.3
100.0
0.0
0.0
0.0
0.0
0.0
0.0
-8.9
6.1
15.4
19.4
27.0
21.1
0.0
0.0
0.0
0.1
0.2
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
6.0
7.0
34.4
29.0
4.7
-8
-21
-131
-462
-784
0.0
0.0
-0.1
-0.1
0.0
0.0
0.0
0.0
0.0
0.0
15.8
10.7
16.8
26.1
12.6
0.0
0.0
0.0
0.0
0.0
22.6
23.9
26.6
33.1
35.2
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
by Cash Income Percentile Adjusted for Family Size, 2012
Tax Units4
2,3
Cash Income Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average AfterTax Income5
(Dollars)
Average
Federal Tax
Rate6
1
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
Number
(thousands)
Percent of
Total
10,133
10,359
10,251
9,800
8,315
49,155
20.6
21.1
20.9
19.9
16.9
100.0
14,723
34,672
62,298
103,142
306,063
95,419
-1,303
2,103
9,603
19,996
82,744
20,186
16,026
32,569
52,695
83,146
223,319
75,234
-8.9
6.1
15.4
19.4
27.0
21.2
3.2
7.7
13.6
21.6
54.3
100.0
4.4
9.1
14.6
22.0
50.2
100.0
-1.3
2.2
9.9
19.8
69.3
100.0
4,398
1,976
1,567
374
36
9.0
4.0
3.2
0.8
0.1
157,496
224,546
400,356
2,088,455
9,839,694
35,649
53,581
106,483
691,072
3,468,250
121,846
170,965
293,873
1,397,383
6,371,444
22.6
23.9
26.6
33.1
35.3
14.8
9.5
13.4
16.7
7.6
14.5
9.1
12.5
14.1
6.2
15.8
10.7
16.8
26.1
12.6
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
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 current law plus an AMT patch; extension of the 10, 25, and 28 percent tax rates, marriage penalty relief, child tax credit, child and dependent care credit, student loan interest deduction; 0%/15% rate
on capital gains and qualified dividends except for taxpayers in the top two brackets; and repeal of Pease and PEP for taxpayers with incomes less than $250,000 married/$200,000 for others. Proposal would extend 2009 estate
tax law ($3.5 million effective exemption not indexed for inflation, 45 percent rate, replacing credit for state-level wealth transfer taxes with a deduction, and repeal of the 5 percent bubble).
(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) The cash income percentile classes used in this table are based on the income distribution for the entire population and contain an equal number of people, not tax units. The incomes used are adjusted for family size by dividing
by the square root of the number of people in the tax unit. The resulting percentile breaks are (in 2009 dollars): 20% $13,219, 40% $24,782, 60% $41,864, 80% $68,188, 90% $97,830, 95% $138,709, 99% $361,983, 99.9%
$1,670,467.
(4) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(5) 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.
(6) 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.
9-Aug-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0202
Extend 2009 Estate Tax Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2012
Detail Table - Elderly Tax Units
Percent of Tax Units 4
Cash Income Percentile2,3
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
With Tax
Increase
Percent Change
in After-Tax
Income5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
1
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
Average Federal Tax Rate 6
Change (%
Points)
Under the
Proposal
0.0
0.0
0.0
0.1
0.7
0.2
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.4
0.4
1.2
0.8
0.3
0.8
5.5
8.7
84.5
100.0
-9
-14
-138
-238
-2,251
-490
-3.3
-1.6
-5.6
-3.0
-3.5
-3.5
0.0
0.0
-0.1
0.1
0.0
0.0
0.3
1.7
3.4
10.3
84.2
100.0
-0.1
-0.1
-0.3
-0.3
-0.9
-0.7
2.4
3.8
5.7
11.0
24.0
17.8
0.4
0.5
1.0
1.6
2.0
0.0
0.0
0.0
0.0
0.0
1.0
1.1
1.7
0.9
0.2
14.5
12.2
33.0
24.7
2.0
-896
-1,345
-3,543
-8,529
-6,877
-5.2
-4.6
-5.7
-2.0
-0.3
-0.2
-0.1
-0.5
0.7
0.8
9.7
9.3
20.0
45.3
23.3
-0.9
-0.9
-1.3
-0.6
-0.1
15.6
18.3
22.0
30.8
34.7
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
by Cash Income Percentile Adjusted for Family Size, 2012
Tax Units4
2,3
Cash Income Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average AfterTax Income5
(Dollars)
Average
Federal Tax
Rate6
1
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
Number
(thousands)
Percent of
Total
5,016
8,213
5,981
5,495
5,617
30,543
16.4
26.9
19.6
18.0
18.4
100.0
10,899
22,528
41,094
70,238
257,048
75,737
271
860
2,493
7,965
64,010
13,980
10,628
21,668
38,601
62,273
193,038
61,757
2.5
3.8
6.1
11.3
24.9
18.5
2.4
8.0
10.6
16.7
62.4
100.0
2.8
9.4
12.2
18.1
57.5
100.0
0.3
1.7
3.5
10.3
84.2
100.0
2,427
1,362
1,394
434
42
8.0
4.5
4.6
1.4
0.1
105,444
153,103
267,882
1,396,961
6,520,091
17,322
29,419
62,582
438,477
2,266,934
88,122
123,684
205,300
958,484
4,253,157
16.4
19.2
23.4
31.4
34.8
11.1
9.0
16.1
26.2
12.0
11.3
8.9
15.2
22.0
9.6
9.8
9.4
20.4
44.5
22.5
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
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 current law plus an AMT patch; extension of the 10, 25, and 28 percent tax rates, marriage penalty relief, child tax credit, child and dependent care credit, student loan interest deduction; 0%/15% rate
on capital gains and qualified dividends except for taxpayers in the top two brackets; and repeal of Pease and PEP for taxpayers with incomes less than $250,000 married/$200,000 for others. Proposal would extend 2009 estate
tax law ($3.5 million effective exemption not indexed for inflation, 45 percent rate, replacing credit for state-level wealth transfer taxes with a deduction, and repeal of the 5 percent bubble).
(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) The cash income percentile classes used in this table are based on the income distribution for the entire population and contain an equal number of people, not tax units. The incomes used are adjusted for family size by dividing
by the square root of the number of people in the tax unit. The resulting percentile breaks are (in 2009 dollars): 20% $13,219, 40% $24,782, 60% $41,864, 80% $68,188, 90% $97,830, 95% $138,709, 99% $361,983, 99.9%
$1,670,467.
(4) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(5) 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.
(6) 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.