8‐Mar‐11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11‐0049
Administration's FY2012 Budget Proposals
Estate Tax Provisions
Baseline: Current Law
Distribution of Federal Tax Change by Cash Income Percentile, 2013 1
Summary Table
Percent of Tax Units4
Cash Income Percentile
2,3
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
0.2
0.2
0.4
0.3
0.6
1.6
9.1
16.4
72.0
100.0
‐4
‐11
‐71
‐152
‐762
‐157
0.0
0.0
‐0.1
‐0.2
‐0.3
‐0.2
5.1
12.3
18.4
21.9
29.3
24.2
0.1
0.1
0.2
0.4
0.7
0.0
0.0
0.0
0.0
0.0
0.3
0.3
0.5
0.4
0.3
12.7
10.3
24.6
24.4
7.4
‐267
‐439
‐1,313
‐5,112
‐15,299
‐0.2
‐0.2
‐0.4
‐0.3
‐0.2
25.1
26.2
28.2
34.6
38.2
Addendum
80‐90
90‐95
95‐99
Top 1 Percent
Top 0.1 Percent
Source: Urban‐Brookings Tax Policy Center Microsimulation Model (version 0509‐7).
Number of AMT Taxpayers (millions). Baseline: 21.2 Proposal: 21.2
(1) Calendar year. Baseline is current law. Proposal would set the estate tax at its 2009 level ($3.5M exemption, 45% rate) and modify certain valuation discount rules.
(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% $19,829, 40% $38,180, 60% $66,963, 80% $114,669, 90% $167,030, 95% $236,580, 99% $643,739, 99.9% $2,961,299.
(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. 8‐Mar‐11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11‐0049
Administration's FY2012 Budget Proposals
Estate Tax Provisions
Baseline: Current Law
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
0.1
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.2
0.2
0.4
0.3
0.6
1.6
9.1
16.4
72.0
100.0
‐4
‐11
‐71
‐152
‐762
‐157
‐0.6
‐0.3
‐0.7
‐0.8
‐0.9
‐0.8
0.0
0.0
0.0
0.0
0.0
0.0
0.8
4.2
10.4
17.7
66.9
100.0
0.0
0.0
‐0.1
‐0.2
‐0.3
‐0.2
5.1
12.3
18.4
21.9
29.3
24.2
0.1
0.1
0.2
0.4
0.7
0.0
0.0
0.0
0.0
0.0
0.3
0.3
0.5
0.4
0.3
12.7
10.3
24.6
24.4
7.4
‐267
‐439
‐1,313
‐5,112
‐15,299
‐0.7
‐0.8
‐1.3
‐0.7
‐0.4
0.0
0.0
‐0.1
0.0
0.1
13.9
10.2
15.9
26.8
13.7
‐0.2
‐0.2
‐0.4
‐0.3
‐0.2
25.1
26.2
28.2
34.6
38.2
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, 2013 1
Tax Units4
Cash Income Percentile2,3
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 After‐
Tax Income5 (Dollars)
Average Federal Tax Rate6
Share of Pre‐
Tax Income
Share of Post‐
Tax Income
Share of Federal Taxes
Percent of Total
Percent of Total
Percent of Total
40,401
35,545
32,339
27,031
23,705
159,683
25.3
22.3
20.3
16.9
14.9
100.0
11,561
29,518
53,265
91,335
295,351
79,379
595
3,645
9,879
20,194
87,191
19,349
10,966
25,873
43,386
71,140
208,160
60,030
5.1
12.4
18.6
22.1
29.5
24.4
3.7
8.3
13.6
19.5
55.2
100.0
4.6
9.6
14.6
20.1
51.5
100.0
0.8
4.2
10.3
17.7
66.9
100.0
11,940
5,860
4,707
1,197
122
7.5
3.7
3.0
0.8
0.1
142,598
204,431
366,652
1,983,475
9,019,082
35,989
53,985
104,716
691,470
3,459,139
106,609
150,446
261,936
1,292,005
5,559,943
25.2
26.4
28.6
34.9
38.4
13.4
9.5
13.6
18.7
8.7
13.3
9.2
12.9
16.1
7.1
13.9
10.2
16.0
26.8
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 0509‐7).
Number of AMT Taxpayers (millions). Baseline: 21.2 Proposal: 21.2
(1) Calendar year. Baseline is current law. Proposal would set the estate tax at its 2009 level ($3.5M exemption, 45% rate) and modify certain valuation discount rules.
(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% $19,829, 40% $38,180, 60% $66,963, 80% $114,669, 90% $167,030, 95% $236,580, 99% $643,739, 99.9% $2,961,299.
(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. 8‐Mar‐11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11‐0049
Administration's FY2012 Budget Proposals
Estate Tax Provisions
Baseline: Current Law
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
0.2
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.4
0.3
0.4
0.6
1.7
10.1
86.8
100.0
‐3
‐5
‐13
‐83
‐718
‐157
‐1.2
‐0.2
‐0.2
‐0.5
‐1.0
‐0.8
0.0
0.0
0.1
0.1
‐0.1
0.0
0.3
3.1
8.4
16.9
71.1
100.0
0.0
0.0
0.0
‐0.1
‐0.3
‐0.2
2.2
10.9
17.2
21.4
28.9
24.2
0.1
0.1
0.3
0.6
0.8
0.0
0.0
0.0
0.0
0.0
0.2
0.3
0.5
0.5
0.4
13.2
9.7
28.9
34.9
9.9
‐217
‐322
‐1,211
‐6,065
‐17,185
‐0.7
‐0.7
‐1.4
‐1.0
‐0.6
0.0
0.0
‐0.1
‐0.1
0.0
15.0
11.3
17.0
27.8
14.1
‐0.2
‐0.2
‐0.4
‐0.4
‐0.2
24.8
26.1
27.9
34.3
37.8
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, 2013 1
Tax Units4
Cash Income Percentile2,3
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 After‐
Tax Income5 (Dollars)
Average Federal Tax Rate6
Share of Pre‐
Tax Income
Share of Post‐
Tax Income
Share of Federal Taxes
Percent of Total
Percent of Total
Percent of Total
33,459
32,885
31,869
30,496
30,312
159,683
21.0
20.6
20.0
19.1
19.0
100.0
10,833
26,816
47,152
79,522
248,646
79,379
245
2,915
8,127
17,082
72,639
19,349
10,589
23,901
39,025
62,440
176,007
60,030
2.3
10.9
17.2
21.5
29.2
24.4
2.9
7.0
11.9
19.1
59.5
100.0
3.7
8.2
13.0
19.9
55.7
100.0
0.3
3.1
8.4
16.9
71.3
100.0
15,281
7,600
5,988
1,444
144
9.6
4.8
3.8
0.9
0.1
121,325
174,872
311,732
1,722,207
7,944,556
30,288
46,022
88,212
596,149
3,020,072
91,037
128,850
223,520
1,126,059
4,924,484
25.0
26.3
28.3
34.6
38.0
14.6
10.5
14.7
19.6
9.0
14.5
10.2
14.0
17.0
7.4
15.0
11.3
17.1
27.9
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 0509‐7).
Number of AMT Taxpayers (millions). Baseline: 21.2 Proposal: 21.2
(1) Calendar year. Baseline is current law. Proposal would set the estate tax at its 2009 level ($3.5M exemption, 45% rate) and modify certain valuation discount rules.
(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% $13,627, 40% $25,365, 60% $42,896, 80% $70,063, 90% $101,583, 95% $145,293, 99% $386,366, 99.9% $1,826,435.
(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. 8‐Mar‐11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11‐0049
Administration's FY2012 Budget Proposals
Estate Tax Provisions
Baseline: Current Law
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
0.1
0.4
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.1
0.4
1.7
0.9
0.3
0.4
1.6
10.7
86.8
100.0
‐4
‐5
‐23
‐193
‐1,919
‐304
‐0.6
‐0.2
‐0.4
‐1.5
‐4.0
‐2.8
0.0
0.1
0.3
0.3
‐0.7
0.0
1.4
5.1
12.4
20.5
60.5
100.0
‐0.1
0.0
‐0.1
‐0.3
‐1.2
‐0.7
7.2
11.4
18.0
22.2
28.9
23.1
0.2
0.3
0.7
1.4
1.7
0.0
0.0
0.0
0.0
0.0
0.9
1.0
2.2
2.7
1.7
14.6
10.2
29.0
33.0
8.4
‐603
‐932
‐3,425
‐19,607
‐56,332
‐2.7
‐2.7
‐5.5
‐4.5
‐2.4
0.0
0.0
‐0.4
‐0.4
0.0
15.5
10.5
14.4
20.1
10.0
‐0.7
‐0.8
‐1.6
‐1.7
‐1.0
25.5
26.7
27.2
35.8
40.8
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, 2013 1
Tax Units4
Cash Income Percentile2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average Income (Dollars)
Average Federal Tax Burden (Dollars)
Average After‐
Tax Income5 (Dollars)
Number (thousands)
Percent of Total
18,053
16,001
14,578
11,876
9,681
70,516
25.6
22.7
20.7
16.8
13.7
100.0
8,179
20,442
35,077
57,277
159,815
45,439
595
2,343
6,318
12,918
48,112
10,784
7,585
18,100
28,759
44,358
111,703
34,655
5,163
2,344
1,814
360
32
7.3
3.3
2.6
0.5
0.1
87,005
124,519
215,516
1,152,428
5,673,795
22,810
34,135
61,928
432,085
2,369,274
64,196
90,384
153,588
720,343
3,304,521
Share of Pre‐
Tax Income
Share of Post‐
Tax Income
Share of Federal Taxes
Percent of Total
Percent of Total
Percent of Total
7.3
11.5
18.0
22.6
30.1
23.7
4.6
10.2
16.0
21.2
48.3
100.0
5.6
11.9
17.2
21.6
44.3
100.0
1.4
4.9
12.1
20.2
61.3
100.0
26.2
27.4
28.7
37.5
41.8
14.0
9.1
12.2
13.0
5.7
13.6
8.7
11.4
10.6
4.3
15.5
10.5
14.8
20.5
9.9
Average Federal Tax Rate6
Addendum
80‐90
90‐95
95‐99
Top 1 Percent
Top 0.1 Percent
Source: Urban‐Brookings Tax Policy Center Microsimulation Model (version 0509‐7).
(1) Calendar year. Baseline is current law. Proposal would set the estate tax at its 2009 level ($3.5M exemption, 45% rate) and modify certain valuation discount rules.
(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% $13,627, 40% $25,365, 60% $42,896, 80% $70,063, 90% $101,583, 95% $145,293, 99% $386,366, 99.9% $1,826,435.
(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. 8‐Mar‐11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11‐0049
Administration's FY2012 Budget Proposals
Estate Tax Provisions
Baseline: Current Law
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
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.8
2.3
2.3
5.8
88.0
100.0
‐4
‐8
‐7
‐12
‐151
‐53
‐0.8
‐0.2
‐0.1
‐0.1
‐0.2
‐0.2
0.0
0.0
0.0
0.0
0.0
0.0
0.2
1.6
5.4
14.8
77.9
100.0
0.0
0.0
0.0
0.0
‐0.1
0.0
3.3
11.0
16.2
20.8
28.9
25.5
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
4.8
6.5
29.2
47.5
18.9
‐17
‐42
‐242
‐1,503
‐5,864
‐0.1
‐0.1
‐0.2
‐0.2
‐0.2
0.0
0.0
0.0
0.0
0.0
15.1
12.3
19.0
31.6
15.8
0.0
0.0
‐0.1
‐0.1
‐0.1
24.5
26.0
28.2
33.9
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
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average Income (Dollars)
Average Federal Tax Burden (Dollars)
Average After‐
Tax Income5 (Dollars)
Number (thousands)
Percent of Total
7,024
8,856
11,443
15,130
18,854
61,567
11.4
14.4
18.6
24.6
30.6
100.0
14,231
34,357
60,965
97,772
297,727
132,758
471
3,797
9,858
20,334
86,213
33,874
13,759
30,560
51,108
77,438
211,515
98,884
9,003
4,921
3,909
1,021
104
14.6
8.0
6.4
1.7
0.2
142,540
200,289
359,028
1,900,519
8,491,806
34,912
52,061
101,369
644,948
3,163,991
107,628
148,228
257,658
1,255,571
5,327,816
Share of Pre‐
Tax Income
Share of Post‐
Tax Income
Share of Federal Taxes
Percent of Total
Percent of Total
Percent of Total
3.3
11.1
16.2
20.8
29.0
25.5
1.2
3.7
8.5
18.1
68.7
100.0
1.6
4.5
9.6
19.3
65.5
100.0
0.2
1.6
5.4
14.8
77.9
100.0
24.5
26.0
28.2
33.9
37.3
15.7
12.1
17.2
23.8
10.8
15.9
12.0
16.5
21.1
9.1
15.1
12.3
19.0
31.6
15.8
Average Federal Tax Rate6
Addendum
80‐90
90‐95
95‐99
Top 1 Percent
Top 0.1 Percent
Source: Urban‐Brookings Tax Policy Center Microsimulation Model (version 0509‐7).
(1) Calendar year. Baseline is current law. Proposal would set the estate tax at its 2009 level ($3.5M exemption, 45% rate) and modify certain valuation discount rules.
(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% $13,627, 40% $25,365, 60% $42,896, 80% $70,063, 90% $101,583, 95% $145,293, 99% $386,366, 99.9% $1,826,435.
(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. 8‐Mar‐11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11‐0049
Administration's FY2012 Budget Proposals
Estate Tax Provisions
Baseline: Current Law
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
0.0
0.0
0.0
0.0
0.0
0.0
0.2
0.0
0.2
1.8
5.0
18.3
74.4
100.0
0
‐1
‐4
‐24
‐223
‐15
0.0
0.0
0.0
‐0.1
‐0.4
‐0.2
0.0
0.0
0.1
0.0
‐0.1
0.0
‐3.4
12.7
26.7
27.7
36.2
100.0
0.0
0.0
0.0
0.0
‐0.1
0.0
‐5.5
9.5
18.1
22.2
27.4
16.7
0.0
0.1
0.1
0.3
0.4
0.0
0.0
0.0
0.0
0.0
0.1
0.2
0.2
0.3
0.3
12.0
13.2
20.9
28.4
10.3
‐57
‐202
‐437
‐3,117
‐13,814
‐0.2
‐0.5
‐0.6
‐0.6
‐0.5
0.0
0.0
0.0
0.0
0.0
13.0
5.8
7.6
9.9
4.5
‐0.1
‐0.1
‐0.2
‐0.2
‐0.2
25.0
25.9
26.1
34.2
37.7
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, 2013 1
Tax Units4
Cash Income Percentile2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average Income (Dollars)
Average Federal Tax Burden (Dollars)
Average After‐
Tax Income5 (Dollars)
Number (thousands)
Percent of Total
8,120
7,619
5,177
2,860
1,273
25,098
32.4
30.4
20.6
11.4
5.1
100.0
13,842
31,582
51,476
78,894
187,085
43,104
‐761
3,013
9,310
17,511
51,472
7,200
14,604
28,569
42,166
61,383
135,613
35,904
808
249
182
35
3
3.2
1.0
0.7
0.1
0.0
115,728
161,060
289,763
1,499,445
7,613,791
29,008
41,867
75,977
515,758
2,885,610
86,719
119,193
213,786
983,687
4,728,181
Share of Pre‐
Tax Income
Share of Post‐
Tax Income
Share of Federal Taxes
Percent of Total
Percent of Total
Percent of Total
‐5.5
9.5
18.1
22.2
27.5
16.7
10.4
22.2
24.6
20.9
22.0
100.0
13.2
24.2
24.2
19.5
19.2
100.0
‐3.4
12.7
26.7
27.7
36.3
100.0
25.1
26.0
26.2
34.4
37.9
8.7
3.7
4.9
4.8
2.0
7.8
3.3
4.3
3.8
1.5
13.0
5.8
7.6
9.9
4.6
Average Federal Tax Rate6
Addendum
80‐90
90‐95
95‐99
Top 1 Percent
Top 0.1 Percent
Source: Urban‐Brookings Tax Policy Center Microsimulation Model (version 0509‐7).
(1) Calendar year. Baseline is current law. Proposal would set the estate tax at its 2009 level ($3.5M exemption, 45% rate) and modify certain valuation discount rules.
(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% $13,627, 40% $25,365, 60% $42,896, 80% $70,063, 90% $101,583, 95% $145,293, 99% $386,366, 99.9% $1,826,435.
(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. 8‐Mar‐11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11‐0049
Administration's FY2012 Budget Proposals
Estate Tax Provisions
Baseline: Current Law
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
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.2
1.3
2.7
10.8
84.2
100.0
0
‐1
‐2
‐9
‐79
‐16
0.0
0.0
0.0
0.0
‐0.1
‐0.1
0.0
0.0
0.0
0.0
0.0
0.0
‐0.8
3.2
10.2
19.9
67.4
100.0
0.0
0.0
0.0
0.0
0.0
0.0
‐6.2
10.4
18.7
23.1
30.1
24.6
0.0
0.0
0.0
0.1
0.2
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.0
11.0
6.6
33.8
32.8
10.8
‐20
‐26
‐164
‐668
‐2,342
‐0.1
0.0
‐0.1
‐0.1
‐0.1
0.0
0.0
0.0
0.0
0.0
15.1
10.5
16.6
25.3
12.1
0.0
0.0
0.0
0.0
0.0
26.0
27.1
29.4
35.7
38.3
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
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average Income (Dollars)
Average Federal Tax Burden (Dollars)
Average After‐
Tax Income5 (Dollars)
Number (thousands)
Percent of Total
10,404
10,419
10,279
9,803
8,309
49,348
21.1
21.1
20.8
19.9
16.8
100.0
15,026
35,671
63,686
106,014
325,807
99,630
‐923
3,718
11,927
24,525
98,129
24,497
15,950
31,954
51,759
81,489
227,678
75,133
4,326
1,997
1,604
382
36
8.8
4.1
3.3
0.8
0.1
162,746
233,966
425,182
2,235,730
10,656,644
42,254
63,477
124,945
799,619
4,079,568
120,492
170,490
300,238
1,436,111
6,577,076
Share of Pre‐
Tax Income
Share of Post‐
Tax Income
Share of Federal Taxes
Percent of Total
Percent of Total
Percent of Total
‐6.1
10.4
18.7
23.1
30.1
24.6
3.2
7.6
13.3
21.1
55.1
100.0
4.5
9.0
14.4
21.6
51.0
100.0
‐0.8
3.2
10.1
19.9
67.5
100.0
26.0
27.1
29.4
35.8
38.3
14.3
9.5
13.9
17.4
7.8
14.1
9.2
13.0
14.8
6.4
15.1
10.5
16.6
25.3
12.1
Average Federal Tax Rate6
Addendum
80‐90
90‐95
95‐99
Top 1 Percent
Top 0.1 Percent
Source: Urban‐Brookings Tax Policy Center Microsimulation Model (version 0509‐7).
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. Proposal would set the estate tax at its 2009 level ($3.5M exemption, 45% rate) and modify certain valuation discount rules.
(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% $13,627, 40% $25,365, 60% $42,896, 80% $70,063, 90% $101,583, 95% $145,293, 99% $386,366, 99.9% $1,826,435.
(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. 8‐Mar‐11
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T11‐0049
Administration's FY2012 Budget Proposals
Estate Tax Provisions
Baseline: Current Law
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
0.1
0.7
0.2
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.1
0.1
0.7
1.7
1.1
0.4
0.6
1.4
10.6
86.8
100.0
‐14
‐14
‐49
‐409
‐3,297
‐689
‐4.8
‐1.4
‐1.7
‐4.3
‐4.3
‐4.1
0.0
0.1
0.1
0.0
‐0.1
0.0
0.3
1.7
3.5
10.2
84.3
100.0
‐0.1
‐0.1
‐0.1
‐0.6
‐1.2
‐0.9
2.6
4.4
6.8
12.5
27.6
20.5
0.5
0.6
1.0
1.7
2.1
0.0
0.0
0.0
0.0
0.1
1.4
1.2
2.3
1.7
1.0
14.4
9.8
29.2
33.4
9.1
‐1,237
‐1,510
‐4,652
‐17,624
‐44,750
‐5.8
‐4.2
‐6.1
‐3.1
‐1.6
‐0.2
0.0
‐0.4
0.5
0.6
10.0
9.5
19.5
45.2
23.9
‐1.1
‐0.9
‐1.7
‐1.1
‐0.6
18.2
21.3
25.6
34.9
38.7
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, 2013 1
Tax Units4
Cash Income Percentile2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average Income (Dollars)
Average Federal Tax Burden (Dollars)
Average After‐
Tax Income5 (Dollars)
Number (thousands)
Percent of Total
5,313
8,515
6,190
5,603
5,686
31,333
17.0
27.2
19.8
17.9
18.2
100.0
10,822
22,986
41,540
72,670
269,484
78,111
294
1,033
2,857
9,505
77,552
16,681
10,528
21,953
38,682
63,165
191,932
61,431
2,520
1,400
1,357
409
44
8.0
4.5
4.3
1.3
0.1
109,880
159,960
281,390
1,589,526
7,053,610
21,198
35,637
76,668
571,645
2,770,657
88,682
124,323
204,722
1,017,880
4,282,954
Share of Pre‐
Tax Income
Share of Post‐
Tax Income
Share of Federal Taxes
Percent of Total
Percent of Total
Percent of Total
2.7
4.5
6.9
13.1
28.8
21.4
2.4
8.0
10.5
16.6
62.6
100.0
2.9
9.7
12.4
18.4
56.7
100.0
0.3
1.7
3.4
10.2
84.4
100.0
19.3
22.3
27.3
36.0
39.3
11.3
9.2
15.6
26.5
12.7
11.6
9.0
14.4
21.6
9.8
10.2
9.5
19.9
44.7
23.3
Average Federal Tax Rate6
Addendum
80‐90
90‐95
95‐99
Top 1 Percent
Top 0.1 Percent
Source: Urban‐Brookings Tax Policy Center Microsimulation Model (version 0509‐7).
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. Proposal would set the estate tax at its 2009 level ($3.5M exemption, 45% rate) and modify certain valuation discount rules.
(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% $13,627, 40% $25,365, 60% $42,896, 80% $70,063, 90% $101,583, 95% $145,293, 99% $386,366, 99.9% $1,826,435.
(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.