1-Aug-11
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 T11-0246
Limit Benefit of Specified Tax Expenditures to 2 Percent of AGI for High-Income Taxpayers
Baseline: Current Policy
1
Distribution of Federal Tax Change by Cash Income Percentile, 2013
Summary Table
Tax Units with Tax Increase or Cut 4
Cash Income Percentile2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
With Tax Cut
Pct of Tax
Avg Tax Cut
Units
With Tax Increase
Pct of Tax
Avg Tax
Units
Increase
Percent
Change in
After-Tax
5
Income
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
0.0
0.0
0.0
0
0
0
0
0
0
0.0
0.0
0.0
0.0
11.5
1.7
0
0
0
0
16,521
16,521
0.0
0.0
0.0
0.0
-0.9
-0.5
0.0
0.0
0.0
0.0
100.0
100.0
0
0
0
0
1,900
275
0.0
0.0
0.0
0.0
0.7
0.4
1.8
8.2
15.2
18.8
26.5
21.1
0.0
0.0
0.0
0.0
0.0
0
0
0
0
0
0.1
0.7
39.2
68.3
67.9
396
1,262
3,762
46,575
240,673
0.0
0.0
-0.6
-2.6
-3.2
0.0
0.1
15.5
84.4
44.5
0
9
1,474
31,810
163,414
0.0
0.0
0.4
1.8
2.1
21.5
22.9
25.4
33.2
37.2
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0411-2).
Number of AMT Taxpayers (millions). Baseline: 4.5
Proposal: 3.9
* Less than 0.05
** Insufficient data
(1) Calendar year. Baseline is current policy, which makes 2001 tax law permanent with the exception of the temporary 2 percent reduction in Social Security payroll taxes.
Proposal would limit the value of itemized deductions, the exclusion for employer-sponsored health insurance premiums, and the child and dependent care and general business
tax credits to two percent of a taxpayer's adjusted gross income. The cap would phase in for married couples with AGI between $250,000 and $500,000 and for singles and heads
(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 2011 dollars): 20% $17,910; 40% $37,091; 60% $64,533; 80% $111,349; 90% $160,384; 95% $227,324; 99% $593,011; 99.9% $2,682,257.
(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.
1-Aug-11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11-0246
Limit Benefit of Specified Tax Expenditures to 2 Percent of AGI for High-Income Taxpayers
Baseline: Current Policy
Distribution of Federal Tax Change by Cash Income Percentile, 2013 1
Detail Table
Percent of Tax Units4
Cash Income Percentile2,3
With Tax
Increase
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent Change in
After-Tax
Income5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Percent
Share of Federal Taxes
Change (% Points)
Under the
Proposal
Average Federal Tax Rate6
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
11.5
1.7
0.0
0.0
0.0
0.0
-0.9
-0.5
0.0
0.0
0.0
0.0
100.0
100.0
0
0
0
0
1,900
275
0.0
0.0
0.0
0.0
2.7
1.8
0.0
-0.1
-0.2
-0.3
0.6
0.0
0.3
3.4
10.0
17.6
68.6
100.0
0.0
0.0
0.0
0.0
0.7
0.4
1.8
8.2
15.2
18.8
26.5
21.1
0.0
0.0
0.0
0.0
0.0
0.1
0.7
39.2
68.3
67.9
0.0
0.0
-0.6
-2.6
-3.2
0.0
0.1
15.5
84.4
44.5
0
9
1,474
31,810
163,414
0.0
0.0
1.8
5.7
5.9
-0.3
-0.2
0.0
1.0
0.6
14.0
10.3
16.3
28.1
14.4
0.0
0.0
0.4
1.8
2.1
21.5
22.9
25.4
33.2
37.2
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
1
by Cash Income Percentile, 2013
Tax Units4
Cash Income Percentile2,3
Number
Pre-Tax Income
Percent of
Average (dollars)
Percent of
Federal Tax Burden
Average (dollars)
Percent of
After-Tax Income 5
Average (dollars)
Percent of
Average
Federal Tax
Rate 6
Lowest Quintile
Second Quintile
Middle Quintile
Top Quintile
All
43,362
37,681
32,699
24,067
166,272
26.1
22.7
19.7
14.5
100.0
10,122
27,586
50,739
272,779
72,381
3.7
8.6
13.8
54.6
100.0
186
2,257
7,722
70,446
14,984
0.3
3.4
10.1
68.1
100.0
9,936
25,330
43,016
202,333
57,397
4.5
10.0
14.7
51.0
100.0
1.8
8.2
15.2
25.8
20.7
80-90
95-99
Top 1 Percent
Top 0.1 Percent
12,130
4,805
1,213
124
7.3
2.9
0.7
0.1
136,031
338,609
1,767,267
7,871,135
13.7
13.5
17.8
8.1
29,193
84,475
555,087
2,765,076
14.2
16.3
27.0
13.8
106,837
254,134
1,212,179
5,106,059
13.6
12.8
15.4
6.7
21.5
25.0
31.4
35.1
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0411-2).
Number of AMT Taxpayers (millions). Baseline: 4.5
Proposal: 3.9
* Less than 0.05
(1) Calendar year. Baseline is current policy, which makes 2001 tax law permanent with the exception of the temporary 2 percent reduction in Social Security payroll taxes. Proposal would limit the value of itemized
deductions, the exclusion for employer-sponsored health insurance premiums, and the child and dependent care and general business tax credits to two percent of a taxpayer's adjusted gross income. The cap would
phase in for married couples with AGI between $250,000 and $500,000 and for singles and heads of household with AGI between $200,000 and $400,000, 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) 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 2011 dollars): 20%
$17,910; 40% $37,091; 60% $64,533; 80% $111,349; 90% $160,384; 95% $227,324; 99% $593,011; 99.9% $2,682,257.
(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.
1-Aug-11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11-0246
Limit Benefit of Specified Tax Expenditures to 2 Percent of AGI for High-Income Taxpayers
Baseline: Current Policy
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table
Percent of Tax Units4
Cash Income Percentile2,3
With Tax
Increase
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent Change in
After-Tax
Income5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Percent
Share of Federal Taxes
Change (% Points)
Under the
Proposal
Average Federal Tax Rate6
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
9.0
1.7
0.0
0.0
0.0
0.0
-0.9
-0.5
0.0
0.0
0.0
0.0
100.0
100.0
0
0
0
0
1,491
275
0.0
0.0
0.0
0.0
2.5
1.8
0.0
0.0
-0.2
-0.3
0.5
0.0
-0.3
2.2
8.0
16.8
73.3
100.0
0.0
0.0
0.0
0.0
0.7
0.4
-2.5
6.4
13.7
18.3
26.3
21.1
0.0
0.0
0.0
0.0
0.0
*
0.9
29.2
62.4
67.1
0.0
0.0
-0.5
-2.5
-3.2
0.0
0.1
14.7
85.2
46.3
0
8
1,104
26,554
142,887
0.0
0.0
1.5
5.6
5.9
-0.3
-0.2
-0.1
1.0
0.6
15.2
11.6
17.5
29.1
15.0
0.0
0.0
0.4
1.7
2.1
21.5
23.0
25.1
32.8
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, 2013 1
Tax Units4
Cash Income Percentile2,3
Number
Pre-Tax Income
Percent of
Average (dollars)
Percent of
Federal Tax Burden
Average (dollars)
Percent of
After-Tax Income 5
Average (dollars)
Percent of
Average
Federal Tax
Rate 6
Lowest Quintile
Second Quintile
Middle Quintile
Top Quintile
All
36,065
34,713
33,034
30,666
166,272
21.7
20.9
19.9
18.4
100.0
9,430
24,668
44,764
230,715
72,381
2.8
7.1
12.3
58.8
100.0
-237
1,572
6,118
59,133
14,984
-0.3
2.2
8.1
72.8
100.0
9,667
23,095
38,646
171,582
57,397
3.7
8.4
13.4
55.1
100.0
-2.5
6.4
13.7
25.6
20.7
80-90
95-99
Top 1 Percent
Top 0.1 Percent
15,414
6,085
1,466
148
9.3
3.7
0.9
0.1
115,967
289,779
1,533,122
6,917,786
14.9
14.7
18.7
8.5
24,950
71,727
476,633
2,427,135
15.4
17.5
28.1
14.4
91,017
218,051
1,056,489
4,490,651
14.7
13.9
16.2
7.0
21.5
24.8
31.1
35.1
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0411-2).
Number of AMT Taxpayers (millions). Baseline: 4.5
Proposal: 3.9
* Less than 0.05
(1) Calendar year. Baseline is current policy, which makes 2001 tax law permanent with the exception of the temporary 2 percent reduction in Social Security payroll taxes. Proposal would limit the value of itemized
deductions, the exclusion for employer-sponsored health insurance premiums, and the child and dependent care and general business tax credits to two percent of a taxpayer's adjusted gross income. The cap would
phase in for married couples with AGI between $250,000 and $500,000 and for singles and heads of household with AGI between $200,000 and $400,000, 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) 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 2011 dollars): 20% $12,691; 40% $24,715; 60% $41,205; 80% $67,703; 90% $97,820; 95% $138,778;
99% $358,616; 99.9% $1,621,247.
(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.
1-Aug-11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11-0246
Limit Benefit of Specified Tax Expenditures to 2 Percent of AGI for High-Income Taxpayers
Baseline: Current Policy
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table - Single Tax Units
Percent of Tax Units4
Cash Income Percentile2,3
With Tax
Increase
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent Change in
After-Tax
Income5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Percent
Share of Federal Taxes
Change (% Points)
Under the
Proposal
Average Federal Tax Rate6
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
4.3
0.5
0.0
0.0
0.0
0.0
-0.6
-0.3
0.0
0.0
0.0
0.0
100.0
100.0
0
0
0
0
710
85
0.0
0.0
0.0
0.0
1.8
1.1
0.0
-0.1
-0.1
-0.2
0.4
0.0
1.2
4.8
12.3
20.4
61.1
100.0
0.0
0.0
0.0
0.0
0.5
0.2
4.3
8.0
14.5
20.1
26.7
20.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
11.8
55.1
64.8
0.0
0.0
-0.2
-2.5
-3.6
0.0
0.0
6.4
93.6
53.2
0
0
244
17,497
108,840
0.0
0.0
0.5
5.2
5.7
-0.2
-0.1
-0.1
0.8
0.5
15.6
10.7
14.2
20.6
10.7
0.0
0.0
0.1
1.7
2.2
23.0
24.4
24.8
34.5
40.5
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
1
by Cash Income Percentile Adjusted for Family Size, 2013
Tax Units4
Cash Income Percentile2,3
Pre-Tax Income
Average (dollars)
Percent of
Federal Tax Burden
Average (dollars)
Percent of
After-Tax Income 5
Average (dollars)
Percent of
Average
Federal Tax
Rate 6
Number
Percent of
Lowest Quintile
Second Quintile
Middle Quintile
Top Quintile
All
23,198
19,587
15,802
9,604
80,622
28.8
24.3
19.6
11.9
100.0
7,467
19,069
33,699
150,063
39,043
5.5
11.9
16.9
45.8
100.0
324
1,529
4,897
39,366
7,723
1.2
4.8
12.4
60.7
100.0
7,144
17,539
28,801
110,697
31,320
6.6
13.6
18.0
42.1
100.0
4.3
8.0
14.5
26.2
19.8
80-90
95-99
Top 1 Percent
Top 0.1 Percent
5,116
1,790
365
33
6.4
2.2
0.5
0.0
83,160
202,277
1,033,246
4,968,941
13.5
11.5
12.0
5.3
19,149
49,811
338,423
1,901,322
15.7
14.3
19.8
10.2
64,011
152,467
694,823
3,067,618
13.0
10.8
10.0
4.1
23.0
24.6
32.8
38.3
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0411-2).
* Less than 0.05
(1) Calendar year. Baseline is current policy, which makes 2001 tax law permanent with the exception of the temporary 2 percent reduction in Social Security payroll taxes. Proposal would limit the value of itemized
deductions, the exclusion for employer-sponsored health insurance premiums, and the child and dependent care and general business tax credits to two percent of a taxpayer's adjusted gross income. The cap would
phase in for married couples with AGI between $250,000 and $500,000 and for singles and heads of household with AGI between $200,000 and $400,000, 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) 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 2011 dollars): 20% $12,691; 40% $24,715; 60% $41,205; 80% $67,703; 90% $97,820; 95% $138,778;
99% $358,616; 99.9% $1,621,247.
(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.
1-Aug-11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11-0246
Limit Benefit of Specified Tax Expenditures to 2 Percent of AGI for High-Income Taxpayers
Baseline: Current Policy
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table - Married Tax Units Filing Jointly
Percent of Tax Units4
Cash Income Percentile2,3
With Tax
Increase
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent Change in
After-Tax
Income5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Percent
Share of Federal Taxes
Change (% Points)
Under the
Proposal
Average Federal Tax Rate6
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
11.4
3.8
0.0
0.0
0.0
0.0
-0.9
-0.6
0.0
0.0
0.0
0.0
100.0
100.0
0
0
0
0
1,878
627
0.0
0.0
0.0
0.0
2.7
2.1
0.0
0.0
-0.1
-0.3
0.4
0.0
-0.2
0.8
4.9
14.5
79.9
100.0
0.0
0.0
0.0
0.0
0.7
0.5
-5.9
6.1
12.5
17.4
26.1
22.5
0.0
0.0
0.0
0.0
0.0
0.0
1.2
36.6
64.7
67.7
0.0
0.0
-0.6
-2.5
-3.1
0.0
0.1
16.3
83.6
44.0
0
9
1,473
29,054
150,273
0.0
0.0
1.8
5.6
5.9
-0.3
-0.3
-0.1
1.1
0.6
15.1
12.5
19.5
32.9
16.6
0.0
0.0
0.4
1.7
2.0
20.9
22.6
25.2
32.3
36.4
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
1
by Cash Income Percentile Adjusted for Family Size, 2013
Tax Units4
Cash Income Percentile2,3
Pre-Tax Income
Average (dollars)
Percent of
Federal Tax Burden
Average (dollars)
Percent of
After-Tax Income 5
Average (dollars)
Percent of
Average
Federal Tax
Rate 6
Number
Percent of
Lowest Quintile
Second Quintile
Middle Quintile
Top Quintile
All
4,398
6,664
11,624
19,298
57,802
7.6
11.5
20.1
33.4
100.0
14,027
35,110
58,324
274,004
132,789
0.8
3.1
8.8
68.9
100.0
-823
2,149
7,315
69,607
29,259
-0.2
0.9
5.0
79.4
100.0
14,850
32,960
51,008
204,397
103,530
1.1
3.7
9.9
65.9
100.0
-5.9
6.1
12.5
25.4
22.0
80-90
95-99
Top 1 Percent
Top 0.1 Percent
9,190
4,018
1,042
106
15.9
7.0
1.8
0.2
135,542
331,401
1,686,659
7,429,691
16.2
17.4
22.9
10.3
28,296
82,170
516,339
2,554,014
15.4
19.5
31.8
16.0
107,246
249,230
1,170,320
4,875,677
16.5
16.7
20.4
8.6
20.9
24.8
30.6
34.4
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0411-2).
* Less than 0.05
(1) Calendar year. Baseline is current policy, which makes 2001 tax law permanent with the exception of the temporary 2 percent reduction in Social Security payroll taxes. Proposal would limit the value of itemized
deductions, the exclusion for employer-sponsored health insurance premiums, and the child and dependent care and general business tax credits to two percent of a taxpayer's adjusted gross income. The cap would
phase in for married couples with AGI between $250,000 and $500,000 and for singles and heads of household with AGI between $200,000 and $400,000, 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) 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 2011 dollars): 20% $12,691; 40% $24,715; 60% $41,205; 80% $67,703; 90% $97,820; 95% $138,778;
99% $358,616; 99.9% $1,621,247.
(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.
1-Aug-11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11-0246
Limit Benefit of Specified Tax Expenditures to 2 Percent of AGI for High-Income Taxpayers
Baseline: Current Policy
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table - Head of Household Tax Units
Percent of Tax Units4
Cash Income Percentile2,3
With Tax
Increase
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent Change in
After-Tax
Income5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Percent
Share of Federal Taxes
Change (% Points)
Under the
Proposal
Average Federal Tax Rate6
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
6.5
0.3
0.0
0.0
0.0
0.0
-0.5
-0.1
0.0
0.0
0.0
0.0
100.0
100.0
0
0
0
0
701
35
0.0
0.0
0.0
0.0
1.6
0.7
0.1
-0.1
-0.2
-0.2
0.4
0.0
-10.0
7.1
27.2
31.4
44.3
100.0
0.0
0.0
0.0
0.0
0.4
0.1
-12.3
3.7
14.4
19.0
25.3
12.5
0.0
0.0
0.0
0.0
0.0
0.1
1.6
29.3
67.2
63.0
0.0
0.0
-0.5
-2.2
-2.6
0.0
0.4
21.6
78.0
35.7
0
13
1,032
20,652
106,411
0.0
0.0
1.6
4.8
4.6
-0.1
0.0
0.1
0.5
0.2
16.4
6.6
9.4
11.9
5.6
0.0
0.0
0.4
1.5
1.6
22.8
23.5
24.1
33.2
37.2
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Baseline Distribution of Income and Federal Taxes
1
by Cash Income Percentile Adjusted for Family Size, 2013
Tax Units4
Cash Income Percentile2,3
Pre-Tax Income
Average (dollars)
Federal Tax Burden
Percent of
Average (dollars)
Percent of
After-Tax Income 5
Average (dollars)
Percent of
Average
Federal Tax
Rate 6
Number
Percent of
Lowest Quintile
Second Quintile
Middle Quintile
Top Quintile
All
8,232
8,034
4,869
1,263
25,256
32.6
31.8
19.3
5.0
100.0
12,526
29,745
49,199
175,207
39,986
10.2
23.7
23.7
21.9
100.0
-1,538
1,110
7,075
43,685
4,975
-10.1
7.1
27.4
43.9
100.0
14,065
28,635
42,124
131,521
35,011
13.1
26.0
23.2
18.8
100.0
-12.3
3.7
14.4
24.9
12.4
80-90
95-99
Top 1 Percent
Top 0.1 Percent
814
186
33
3
3.2
0.7
0.1
0.0
111,657
266,330
1,361,869
6,471,563
9.0
4.9
4.5
1.9
25,425
63,267
431,248
2,299,317
16.5
9.4
11.5
5.4
86,232
203,063
930,621
4,172,246
7.9
4.3
3.5
1.4
22.8
23.8
31.7
35.5
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0411-2).
* Less than 0.05
(1) Calendar year. Baseline is current policy, which makes 2001 tax law permanent with the exception of the temporary 2 percent reduction in Social Security payroll taxes. Proposal would limit the value of itemized
deductions, the exclusion for employer-sponsored health insurance premiums, and the child and dependent care and general business tax credits to two percent of a taxpayer's adjusted gross income. The cap would
phase in for married couples with AGI between $250,000 and $500,000 and for singles and heads of household with AGI between $200,000 and $400,000, 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) 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 2011 dollars): 20% $12,691; 40% $24,715; 60% $41,205; 80% $67,703; 90% $97,820; 95% $138,778;
99% $358,616; 99.9% $1,621,247.
(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.
1-Aug-11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11-0246
Limit Benefit of Specified Tax Expenditures to 2 Percent of AGI for High-Income Taxpayers
Baseline: Current Policy
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table - Tax Units with Children
Percent of Tax Units4
Cash Income Percentile2,3
With Tax
Increase
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent Change in
After-Tax
Income5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Percent
Share of Federal Taxes
Change (% Points)
Under the
Proposal
Average Federal Tax Rate6
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
16.5
2.8
0.0
0.0
0.0
0.0
-1.1
-0.5
0.0
0.0
0.0
0.0
100.0
100.0
0
0
0
0
2,318
392
0.0
0.0
0.0
0.0
2.9
2.1
0.1
0.0
-0.2
-0.4
0.6
0.0
-2.2
1.4
9.4
20.0
71.4
100.0
0.0
0.0
0.0
0.0
0.8
0.4
-15.8
3.5
14.7
18.9
27.3
20.7
0.0
0.0
0.0
0.0
0.0
*
3.5
63.5
78.4
73.0
0.0
0.0
-1.0
-2.8
-3.2
0.0
0.3
24.8
74.9
34.1
0
32
3,016
37,930
187,837
0.0
0.1
2.9
6.0
5.8
-0.3
-0.2
0.2
1.0
0.4
15.9
10.9
17.7
26.9
12.7
0.0
0.0
0.8
1.9
2.1
22.3
23.7
27.0
34.1
37.5
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, 2013 1
Tax Units4
Cash Income Percentile2,3
Number
Pre-Tax Income
Percent of
Average (dollars)
Percent of
Federal Tax Burden
Average (dollars)
Percent of
After-Tax Income 5
Average (dollars)
Percent of
Average
Federal Tax
Rate 6
Lowest Quintile
Second Quintile
Middle Quintile
Top Quintile
All
10,088
10,789
10,009
8,349
49,418
20.4
21.8
20.3
16.9
100.0
13,356
33,957
60,740
298,935
93,026
2.9
8.0
13.2
54.3
100.0
-2,114
1,196
8,903
79,224
18,899
-2.3
1.4
9.5
70.8
100.0
15,469
32,761
51,837
219,711
74,127
4.3
9.7
14.2
50.1
100.0
-15.8
3.5
14.7
26.5
20.3
80-90
95-99
Top 1 Percent
Top 0.1 Percent
4,396
1,589
382
35
8.9
3.2
0.8
0.1
154,877
392,402
1,966,324
9,174,185
14.8
13.6
16.4
7.0
34,568
102,861
633,051
3,251,762
16.3
17.5
25.9
12.2
120,309
289,541
1,333,273
5,922,424
14.4
12.6
13.9
5.7
22.3
26.2
32.2
35.4
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0411-2).
* Less than 0.05
Note: Tax units with children are those claiming an exemption for children at home or away from home.
(1) Calendar year. Baseline is current policy, which makes 2001 tax law permanent with the exception of the temporary 2 percent reduction in Social Security payroll taxes. Proposal would limit the value of itemized
deductions, the exclusion for employer-sponsored health insurance premiums, and the child and dependent care and general business tax credits to two percent of a taxpayer's adjusted gross income. The cap would
phase in for married couples with AGI between $250,000 and $500,000 and for singles and heads of household with AGI between $200,000 and $400,000, 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) 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 2011 dollars): 20% $12,691; 40% $24,715; 60% $41,205; 80% $67,703; 90% $97,820; 95% $138,778;
99% $358,616; 99.9% $1,621,247.
(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.
1-Aug-11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11-0246
Limit Benefit of Specified Tax Expenditures to 2 Percent of AGI for High-Income Taxpayers
Baseline: Current Policy
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table - Elderly Tax Units
Percent of Tax Units4
Cash Income Percentile2,3
With Tax
Increase
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent Change in
After-Tax
Income5
Share of Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Percent
Share of Federal Taxes
Change (% Points)
Under the
Proposal
Average Federal Tax Rate6
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
6.0
1.1
0.0
0.0
0.0
0.0
-0.9
-0.5
0.0
0.0
0.0
0.0
100.0
100.0
0
0
0
0
1,521
284
0.0
0.0
0.0
0.0
2.8
2.3
0.0
0.0
-0.1
-0.3
0.4
0.0
0.1
0.6
3.6
10.7
84.9
100.0
0.0
0.0
0.0
0.0
0.7
0.4
0.7
1.6
5.0
11.1
24.3
17.5
0.0
0.0
0.0
0.0
0.0
0.0
0.2
13.4
47.5
66.6
0.0
0.0
-0.2
-2.5
-3.7
0.0
0.0
5.8
94.2
62.2
0
0
389
23,178
149,086
0.0
0.0
0.7
5.3
6.6
-0.3
-0.3
-0.3
1.2
0.9
11.4
10.9
20.0
42.7
23.0
0.0
0.0
0.2
1.7
2.4
15.7
18.7
22.2
33.3
38.6
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, 2013 1
Tax Units4
Cash Income Percentile2,3
Number
Pre-Tax Income
Percent of
Average (dollars)
Percent of
Federal Tax Burden
Average (dollars)
Percent of
After-Tax Income 5
Average (dollars)
Percent of
Average
Federal Tax
Rate 6
Lowest Quintile
Second Quintile
Middle Quintile
Top Quintile
All
5,988
9,396
8,334
6,913
37,068
16.2
25.4
22.5
18.7
100.0
9,531
20,198
40,053
232,751
71,055
2.2
7.2
12.7
61.1
100.0
66
316
1,981
55,130
12,158
0.1
0.7
3.7
84.6
100.0
9,464
19,882
38,072
177,621
58,897
2.6
8.6
14.5
56.2
100.0
0.7
1.6
5.0
23.7
17.1
80-90
95-99
Top 1 Percent
Top 0.1 Percent
3,175
1,557
427
44
8.6
4.2
1.2
0.1
105,683
266,474
1,382,440
6,274,992
12.7
15.8
22.4
10.4
16,542
58,752
437,431
2,272,830
11.7
20.3
41.5
22.1
89,141
207,722
945,009
4,002,162
13.0
14.8
18.5
8.0
15.7
22.1
31.6
36.2
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0411-2).
* Less than 0.05
Note: Elderly tax units are those with either head or spouse (if filing jointly) age 65 or older.
(1) Calendar year. Baseline is current policy, which makes 2001 tax law permanent with the exception of the temporary 2 percent reduction in Social Security payroll taxes. Proposal would limit the value of itemized
deductions, the exclusion for employer-sponsored health insurance premiums, and the child and dependent care and general business tax credits to two percent of a taxpayer's adjusted gross income. The cap would
phase in for married couples with AGI between $250,000 and $500,000 and for singles and heads of household with AGI between $200,000 and $400,000, 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) 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 2011 dollars): 20% $12,691; 40% $24,715; 60% $41,205; 80% $67,703; 90% $97,820; 95% $138,778;
99% $358,616; 99.9% $1,621,247.
(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.