12-Jan-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 T10-0006
Extend EGTRRA Child Tax Credit Changes and the $3,000 Refundability Threshold
Baseline: Current Law
Distribution of Federal Tax Change by Cash Income Percentile, 2011 1
Summary Table
Percent of Tax Units 4
Cash Income Percentile
2,3
With Tax Cut
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
With Tax
Increase
Percent Change
in After-Tax
Income5
Share of Total
Federal Tax
Change
Average
Federal Tax
Change ($)
Average Federal Tax Rate 6
Change (%
Points)
Under the
Proposal
16.7
24.1
26.5
31.8
15.8
22.6
0.0
0.0
0.0
0.0
0.0
0.0
1.4
1.3
0.7
0.6
0.1
0.5
13.7
26.4
20.9
26.8
11.7
100.0
-144
-296
-260
-400
-199
-252
-1.4
-1.1
-0.5
-0.5
-0.1
-0.4
3.3
10.1
16.7
20.7
27.7
22.6
27.4
6.4
1.6
0.9
0.2
0.0
0.0
0.0
0.0
0.0
0.4
0.0
0.0
0.0
0.0
10.8
0.7
0.2
0.0
0.0
-362
-47
-17
-10
-4
-0.3
0.0
0.0
0.0
0.0
23.7
25.8
27.3
32.2
35.4
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-4.
Number of AMT Taxpayers (millions). Baseline: 17.0
Proposal: 14.4
(1) Calendar year. Baseline is current law. Proposal extends the CTC provisions in EGTRRA including the allowance of the credit regardless of AMT. It also extends th
American Recovery and Reinvestment Act $3,000 unindexed refundability threshold.
(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% $17,709, 40% $34,668, 60% $63,846, 80% $104,388, 90% $167,146, 95% $210,251, 99% $555,037, 99.9% $2,351,648.
(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.
12-Jan-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0006
Extend EGTRRA Child Tax Credit Changes and the $3,000 Refundability Threshold
Baseline: Current Law
Distribution of Federal Tax Change by Cash Income Percentile, 2011 1
Detail Table
4
Percent of Tax Units
2,3
Cash Income Percentile
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
Percent
Share of Federal Taxes
Change (%
Points)
Under the
Proposal
6
Average Federal Tax Rate
Change (%
Points)
Under the
Proposal
16.7
24.1
26.5
31.8
15.8
22.6
0.0
0.0
0.0
0.0
0.0
0.0
1.4
1.3
0.7
0.6
0.1
0.5
13.7
26.4
20.9
26.8
11.7
100.0
-144
-296
-260
-400
-199
-252
-29.6
-10.1
-3.1
-2.2
-0.3
-1.5
-0.2
-0.4
-0.2
-0.1
0.9
0.0
0.5
3.7
10.1
18.2
67.4
100.0
-1.4
-1.1
-0.5
-0.5
-0.1
-0.4
3.3
10.1
16.7
20.7
27.7
22.6
27.4
6.4
1.6
0.9
0.2
0.0
0.0
0.0
0.0
0.0
0.4
0.0
0.0
0.0
0.0
10.8
0.7
0.2
0.0
0.0
-362
-47
-17
-10
-4
-1.1
-0.1
0.0
0.0
0.0
0.1
0.2
0.3
0.4
0.2
14.9
10.9
16.7
24.9
12.8
-0.3
0.0
0.0
0.0
0.0
23.7
25.8
27.3
32.2
35.4
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, 2011 1
4
Tax Units
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 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
37,292
34,806
31,498
26,231
22,974
155,368
24.0
22.4
20.3
16.9
14.8
100.0
10,481
26,186
48,373
84,329
267,017
71,667
487
2,943
8,323
17,855
74,081
16,458
9,993
23,243
40,050
66,474
192,936
55,208
4.7
11.2
17.2
21.2
27.7
23.0
3.5
8.2
13.7
19.9
55.1
100.0
4.3
9.4
14.7
20.3
51.7
100.0
0.7
4.0
10.3
18.3
66.6
100.0
11,625
5,563
4,611
1,175
119
7.5
3.6
3.0
0.8
0.1
136,507
191,223
333,276
1,657,137
7,672,765
32,702
49,296
91,094
534,071
2,714,593
103,805
141,927
242,182
1,123,066
4,958,172
24.0
25.8
27.3
32.2
35.4
14.3
9.6
13.8
17.5
8.2
14.1
9.2
13.0
15.4
6.9
14.9
10.7
16.4
24.5
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 0509-4).
Number of AMT Taxpayers (millions). Baseline: 17.0
Proposal: 14.4
(1) Calendar year. Baseline is current law. Proposal extends the CTC provisions in EGTRRA including the allowance of the credit regardless of AMT. It also extends the American Recovery and Reinvestment Act $3,000
unindexed refundability threshold.
(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% $17,709, 40%
$34,668, 60% $63,846, 80% $104,388, 90% $167,146, 95% $210,251, 99% $555,037, 99.9% $2,351,648.
(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.
12-Jan-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0006
Extend EGTRRA Child Tax Credit Changes and the $3,000 Refundability Threshold
Baseline: Current Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2011 1
Detail Table
4
Percent of Tax Units
2,3
Cash Income Percentile
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
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
6
Average Federal Tax Rate
Change (%
Points)
Under the
Proposal
25.6
28.4
27.6
25.8
5.8
22.6
0.0
0.0
0.0
0.0
0.0
0.0
2.9
1.5
0.8
0.6
0.0
0.5
22.1
26.8
23.3
24.3
3.1
100.0
-280
-324
-293
-322
-41
-252
-230.3
-13.9
-4.2
-2.2
-0.1
-1.5
-0.3
-0.4
-0.2
-0.1
1.1
0.0
-0.2
2.6
8.3
17.1
72.1
100.0
-2.8
-1.4
-0.7
-0.4
0.0
-0.4
-1.6
8.5
15.6
19.7
27.6
22.6
10.8
1.1
0.6
0.5
0.2
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.0
0.0
0.0
2.8
0.2
0.1
0.0
0.0
-74
-9
-6
-5
-2
-0.3
0.0
0.0
0.0
0.0
0.2
0.2
0.3
0.4
0.2
16.0
12.1
18.0
26.1
13.3
-0.1
0.0
0.0
0.0
0.0
24.0
25.3
27.1
32.1
35.3
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, 2011 1
4
Tax Units
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 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
30,760
32,347
31,060
29,561
29,073
155,368
19.8
20.8
20.0
19.0
18.7
100.0
9,877
23,756
42,993
73,609
226,631
71,667
122
2,339
7,018
14,849
62,488
16,458
9,755
21,416
35,975
58,759
164,143
55,208
1.2
9.9
16.3
20.2
27.6
23.0
2.7
6.9
12.0
19.5
59.2
100.0
3.5
8.1
13.0
20.3
55.6
100.0
0.2
3.0
8.5
17.2
71.1
100.0
14,540
7,282
5,823
1,428
142
9.4
4.7
3.8
0.9
0.1
115,046
165,470
286,103
1,431,804
6,683,662
27,735
41,837
77,658
459,677
2,357,237
87,312
123,634
208,446
972,127
4,326,425
24.1
25.3
27.1
32.1
35.3
15.0
10.8
15.0
18.4
8.5
14.8
10.5
14.2
16.2
7.2
15.8
11.9
17.7
25.7
13.1
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0509-4).
Number of AMT Taxpayers (millions). Baseline: 17.0
Proposal: 14.4
(1) Calendar year. Baseline is current law. Proposal extends the CTC provisions in EGTRRA including the allowance of the credit regardless of AMT. It also extends the American Recovery and Reinvestment Act $3,000
unindexed refundability threshold.
(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% $11,939, 40% $23,027, 60% $39,580, 80% $66,854, 90% $96,556, 95% $135,474, 99% $347,747, 99.9%
$1,413,195.
(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.
12-Jan-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0006
Extend EGTRRA Child Tax Credit Changes and the $3,000 Refundability Threshold
Baseline: Current Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2011 1
Detail Table - Single Tax Units
4
Percent of Tax Units
2,3
Cash Income Percentile
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
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
6
Average Federal Tax Rate
Change (%
Points)
Under the
Proposal
6.7
3.4
1.7
0.9
0.3
3.0
0.0
0.0
0.0
0.0
0.0
0.0
0.8
0.2
0.1
0.0
0.0
0.1
55.7
27.6
11.1
4.9
0.7
100.0
-54
-28
-13
-7
-1
-24
-9.9
-1.4
-0.2
-0.1
0.0
-0.3
-0.1
-0.1
0.0
0.0
0.2
0.0
1.3
5.2
12.7
19.6
61.1
100.0
-0.7
-0.2
0.0
0.0
0.0
-0.1
6.5
11.1
17.5
21.2
28.3
22.4
0.4
0.5
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.6
0.1
0.0
0.0
0.0
-2
-1
0
0
0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.1
0.0
17.4
8.6
15.1
20.0
9.4
0.0
0.0
0.0
0.0
0.0
25.1
25.8
27.2
34.8
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, 2011 1
4
Tax Units
Cash Income Percentile2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average AfterTax Income5
(Dollars)
Number
(thousands)
Percent of
Total
16,453
15,785
14,027
10,881
9,172
67,885
24.2
23.3
20.7
16.0
13.5
100.0
7,653
18,188
31,881
52,390
144,769
40,448
548
2,042
5,598
11,110
41,017
9,102
7,105
16,146
26,283
41,280
103,751
31,347
5,247
1,793
1,749
383
34
7.7
2.6
2.6
0.6
0.1
81,466
114,230
195,211
924,978
4,473,332
20,463
29,433
53,124
321,685
1,728,410
61,004
84,797
142,087
603,294
2,744,922
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
7.2
11.2
17.6
21.2
28.3
22.5
4.6
10.5
16.3
20.8
48.4
100.0
5.5
12.0
17.3
21.1
44.7
100.0
1.5
5.2
12.7
19.6
60.9
100.0
25.1
25.8
27.2
34.8
38.6
15.6
7.5
12.4
12.9
5.5
15.0
7.2
11.7
10.9
4.3
17.4
8.5
15.0
19.9
9.4
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 0509-4).
(1) Calendar year. Baseline is current law. Proposal extends the CTC provisions in EGTRRA including the allowance of the credit regardless of AMT. It also extends the American Recovery and Reinvestment Act $3,000
unindexed refundability threshold.
(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% $11,939, 40% $23,027, 60% $39,580, 80% $66,854, 90% $96,556, 95% $135,474, 99% $347,747, 99.9%
$1,413,195.
(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.
12-Jan-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0006
Extend EGTRRA Child Tax Credit Changes and the $3,000 Refundability Threshold
Baseline: Current Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2011 1
Detail Table - Married Tax Units Filing Jointly
4
Percent of Tax Units
2,3
Cash Income Percentile
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
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
6
Average Federal Tax Rate
Change (%
Points)
Under the
Proposal
27.8
37.5
43.5
39.6
8.4
29.1
0.0
0.0
0.0
0.0
0.0
0.0
3.2
1.8
1.1
0.7
0.0
0.4
11.4
19.1
27.6
36.3
4.9
100.0
-407
-484
-535
-525
-60
-364
-160.3
-16.1
-6.4
-3.0
-0.1
-1.3
-0.2
-0.2
-0.3
-0.3
0.9
0.0
-0.1
1.3
5.2
15.0
78.5
100.0
-3.1
-1.6
-1.0
-0.6
0.0
-0.3
-1.2
8.3
14.2
18.9
27.4
23.7
17.3
1.3
0.8
0.7
0.2
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.0
0.0
0.0
4.5
0.3
0.1
0.0
0.0
-120
-12
-8
-7
-3
-0.4
0.0
0.0
0.0
0.0
0.1
0.2
0.3
0.4
0.2
15.7
13.9
20.0
28.9
14.6
-0.1
0.0
0.0
0.0
0.0
23.6
25.2
27.2
31.5
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, 2011 1
4
Tax Units
Cash Income Percentile2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average AfterTax Income5
(Dollars)
Number
(thousands)
Percent of
Total
6,220
8,746
11,392
15,301
18,311
60,792
10.2
14.4
18.7
25.2
30.1
100.0
12,978
30,404
55,534
89,245
270,238
119,608
254
3,005
8,407
17,397
73,971
28,739
12,724
27,399
47,127
71,848
196,267
90,869
8,308
5,185
3,832
986
100
13.7
8.5
6.3
1.6
0.2
138,140
184,120
329,973
1,603,838
7,292,608
32,768
46,373
89,836
504,565
2,524,971
105,373
137,747
240,137
1,099,274
4,767,637
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
2.0
9.9
15.1
19.5
27.4
24.0
1.1
3.7
8.7
18.8
68.1
100.0
1.4
4.3
9.7
19.9
65.1
100.0
0.1
1.5
5.5
15.2
77.5
100.0
23.7
25.2
27.2
31.5
34.6
15.8
13.1
17.4
21.8
10.0
15.9
12.9
16.7
19.6
8.6
15.6
13.8
19.7
28.5
14.4
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 0509-4).
(1) Calendar year. Baseline is current law. Proposal extends the CTC provisions in EGTRRA including the allowance of the credit regardless of AMT. It also extends the American Recovery and Reinvestment Act $3,000
unindexed refundability threshold.
(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% $11,939, 40% $23,027, 60% $39,580, 80% $66,854, 90% $96,556, 95% $135,474, 99% $347,747, 99.9%
$1,413,195.
(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.
12-Jan-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0006
Extend EGTRRA Child Tax Credit Changes and the $3,000 Refundability Threshold
Baseline: Current Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2011 1
Detail Table - Head of Household Tax Units
4
Percent of Tax Units
2,3
Cash Income Percentile
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
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
6
Average Federal Tax Rate
Change (%
Points)
Under the
Proposal
64.1
71.6
64.3
49.6
11.1
62.1
0.0
0.0
0.0
0.0
0.0
0.0
5.1
3.0
1.4
0.8
0.1
1.9
34.5
38.1
17.8
8.8
0.6
100.0
-661
-775
-533
-483
-79
-620
72.9
-37.0
-6.9
-3.1
-0.2
-10.6
-4.7
-3.2
1.2
2.6
4.2
0.0
-9.7
7.7
28.5
33.3
40.1
100.0
-5.4
-2.8
-1.2
-0.7
-0.1
-1.6
-12.9
4.7
15.6
20.7
26.0
13.6
16.1
3.3
3.3
0.4
0.4
0.0
0.0
0.0
0.0
0.0
0.1
0.0
0.0
0.0
0.0
0.5
0.0
0.0
0.0
0.0
-113
-23
-38
-5
-2
-0.4
-0.1
-0.1
0.0
0.0
1.4
0.8
0.9
1.2
0.6
13.7
7.5
8.1
10.8
5.4
-0.1
0.0
0.0
0.0
0.0
23.8
25.2
24.3
32.0
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 Adjusted for Family Size, 2011 1
4
Tax Units
Cash Income Percentile2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average AfterTax Income5
(Dollars)
Number
(thousands)
Percent of
Total
7,828
7,381
4,991
2,741
1,111
24,178
32.4
30.5
20.6
11.3
4.6
100.0
12,145
27,927
46,364
74,093
175,378
38,406
-907
2,096
7,746
15,790
45,618
5,836
13,052
25,832
38,618
58,302
129,760
32,569
682
241
155
32
3
2.8
1.0
0.6
0.1
0.0
106,498
155,730
269,959
1,323,451
6,199,747
25,452
39,293
65,491
423,602
2,164,690
81,046
116,437
204,468
899,848
4,035,057
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
-7.5
7.5
16.7
21.3
26.0
15.2
10.2
22.2
24.9
21.9
21.0
100.0
13.0
24.2
24.5
20.3
18.3
100.0
-5.0
11.0
27.4
30.7
35.9
100.0
23.9
25.2
24.3
32.0
34.9
7.8
4.1
4.5
4.6
2.1
7.0
3.6
4.0
3.7
1.6
12.3
6.7
7.2
9.7
4.8
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 0509-4).
(1) Calendar year. Baseline is current law. Proposal extends the CTC provisions in EGTRRA including the allowance of the credit regardless of AMT. It also extends the American Recovery and Reinvestment Act $3,000
unindexed refundability threshold.
(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% $11,939, 40% $23,027, 60% $39,580, 80% $66,854, 90% $96,556, 95% $135,474, 99% $347,747, 99.9%
$1,413,195.
(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.
12-Jan-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0006
Extend EGTRRA Child Tax Credit Changes and the $3,000 Refundability Threshold
Baseline: Current Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2011 1
Detail Table - Tax Units with Children
4
Percent of Tax Units
2,3
Cash Income Percentile
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
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
6
Average Federal Tax Rate
Change (%
Points)
Under the
Proposal
68.8
84.3
82.5
77.5
20.1
67.9
0.0
0.0
0.0
0.0
0.0
0.0
5.5
3.4
1.8
1.3
0.1
1.1
21.2
26.4
23.6
25.1
3.2
100.0
-784
-975
-883
-969
-142
-768
70.4
-37.0
-8.7
-4.7
-0.2
-3.7
-0.9
-0.9
-0.5
-0.2
2.5
0.0
-2.0
1.7
9.5
19.5
71.1
100.0
-6.0
-3.1
-1.5
-1.0
-0.1
-0.9
-14.5
5.2
16.0
20.5
28.5
22.3
35.0
4.0
2.3
1.9
0.6
0.0
0.0
0.0
0.0
0.0
0.2
0.0
0.0
0.0
0.0
2.9
0.2
0.1
0.0
0.0
-241
-34
-23
-19
-9
-0.6
-0.1
0.0
0.0
0.0
0.6
0.4
0.6
0.9
0.4
18.3
11.2
17.6
24.1
11.9
-0.2
0.0
0.0
0.0
0.0
25.1
25.9
28.5
33.4
35.8
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, 2011 1
4
Tax Units
Cash Income Percentile2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average AfterTax Income5
(Dollars)
Number
(thousands)
Percent of
Total
10,146
10,182
10,047
9,721
8,416
48,902
20.8
20.8
20.5
19.9
17.2
100.0
13,131
31,660
58,167
96,287
292,032
90,398
-1,114
2,633
10,210
20,702
83,283
20,893
14,245
29,028
47,957
75,586
208,748
69,506
4,474
2,031
1,536
376
36
9.2
4.2
3.1
0.8
0.1
160,074
208,849
396,436
1,884,947
9,014,245
40,397
54,136
112,801
630,422
3,224,090
119,677
154,714
283,634
1,254,525
5,790,155
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
-8.5
8.3
17.6
21.5
28.5
23.1
3.0
7.3
13.2
21.2
55.6
100.0
4.3
8.7
14.2
21.6
51.7
100.0
-1.1
2.6
10.0
19.7
68.6
100.0
25.2
25.9
28.5
33.5
35.8
16.2
9.6
13.8
16.0
7.4
15.8
9.2
12.8
13.9
6.2
17.7
10.8
17.0
23.2
11.4
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 0509-4).
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 extends the CTC provisions in EGTRRA including the allowance of the credit regardless of AMT. It also extends the American Recovery and Reinvestment Act $3,000
unindexed refundability threshold.
(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% $11,939, 40% $23,027, 60% $39,580, 80% $66,854, 90% $96,556, 95% $135,474, 99% $347,747, 99.9%
$1,413,195.
(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.
12-Jan-10
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T10-0006
Extend EGTRRA Child Tax Credit Changes and the $3,000 Refundability Threshold
Baseline: Current Law
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2011 1
Detail Table - Elderly Tax Units
4
Percent of Tax Units
2,3
Cash Income Percentile
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
Share of Federal Taxes
Change (%
Points)
Percent
Under the
Proposal
6
Average Federal Tax Rate
Change (%
Points)
Under the
Proposal
1.7
0.9
2.3
1.5
0.3
1.3
0.0
0.0
0.0
0.0
0.0
0.0
0.2
0.1
0.1
0.0
0.0
0.0
18.1
23.9
34.6
20.4
2.8
100.0
-14
-10
-19
-13
-2
-12
-6.3
-1.3
-0.8
-0.2
0.0
-0.1
0.0
0.0
0.0
0.0
0.1
0.0
0.2
1.5
3.5
10.6
84.2
100.0
-0.2
-0.1
-0.1
0.0
0.0
0.0
2.2
3.8
6.2
12.0
26.2
19.5
0.6
0.1
0.1
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
2.3
0.3
0.2
0.1
0.0
-3
-1
0
-1
0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
10.1
11.4
21.9
40.8
20.6
0.0
0.0
0.0
0.0
0.0
18.2
21.3
25.2
32.5
36.1
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, 2011 1
4
Tax Units
Cash Income Percentile2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Average
Income
(Dollars)
Average
Federal Tax
Burden
(Dollars)
Average AfterTax Income5
(Dollars)
Number
(thousands)
Percent of
Total
4,348
7,946
6,155
5,447
5,552
29,671
14.7
26.8
20.7
18.4
18.7
100.0
9,801
20,388
38,029
67,549
241,246
72,264
227
781
2,380
8,130
63,219
14,068
9,574
19,607
35,648
59,419
178,027
58,196
2,283
1,440
1,410
418
41
7.7
4.9
4.8
1.4
0.1
101,663
154,504
256,863
1,249,575
5,802,387
18,501
32,891
64,776
406,621
2,092,684
83,162
121,613
192,087
842,955
3,709,704
Share of PreTax Income
Percent of
Total
Share of PostTax Income
Percent of
Total
Share of
Federal Taxes
Percent of
Total
2.3
3.8
6.3
12.0
26.2
19.5
2.0
7.6
10.9
17.2
62.5
100.0
2.4
9.0
12.7
18.7
57.2
100.0
0.2
1.5
3.5
10.6
84.1
100.0
18.2
21.3
25.2
32.5
36.1
10.8
10.4
16.9
24.4
11.1
11.0
10.1
15.7
20.4
8.8
10.1
11.4
21.9
40.7
20.6
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 0509-4).
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 extends the CTC provisions in EGTRRA including the allowance of the credit regardless of AMT. It also extends the American Recovery and Reinvestment Act $3,000
unindexed refundability threshold.
(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% $11,939, 40% $23,027, 60% $39,580, 80% $66,854, 90% $96,556, 95% $135,474, 99% $347,747, 99.9%
$1,413,195.
(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.