1-Oct-12
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 T12-0215
Fiscal Cliff Analysis
Step 8 of 9: Other 2001-03 Tax Provisions
Distribution of Federal Tax Change by Cash Income Percentile, 2013 1
Summary Table
Number
(thousands)
Percent of
Total
Percent
Change in
After-Tax
Income5
40,520
36,208
31,370
26,062
23,189
158,260
25.6
22.9
19.8
16.5
14.7
100.0
-0.5
-2.1
-2.0
-2.1
-2.2
-2.1
1.2
11.4
15.7
21.4
50.2
100.0
53
558
888
1,453
3,841
1,120
0.5
1.9
1.7
1.7
1.6
1.6
4.3
12.1
17.6
21.1
30.4
23.9
11,692
5,736
4,615
1,147
117
7.4
3.6
2.9
0.7
0.1
-3.0
-3.0
-2.7
-0.6
0.0
19.1
12.4
14.5
4.2
0.1
2,900
3,816
5,582
6,546
869
2.3
2.3
1.9
0.4
0.0
24.2
26.2
28.9
38.4
40.5
Tax Units 4
Cash Income Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
2,3
Share of
Total
Federal Tax
Change
Average
Federal Tax
Change ($)
Average Federal Tax Rate6
Change (%
Points)
Under the
Proposal
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0412-7).
Number of AMT Taxpayers (millions). Baseline: 3.3
Proposal: 1.2
(1) Calendar year. Initial baseline is current policy with the following modifications: extension of 2 percent payroll tax cut; repeal of the health
care legislation taxes on earnings, and investment income; repeal of the 10 percent limitation on the deductibility of medical expenses; and
extension of certain business and other provisions. Baseline for this step is that modified form of current policy plus step 1 through 7 of the
fiscal cliff analysis. For a description of the fiscal cliff provisions, see:
http://www.taxpolicycenter.org/publications/url.cfm?ID=412666
For a description of TPC's current policy baseline, see:
http://www.taxpolicycenter.org/T11-0270
(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 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 2012 dollars): 20% $20,113; 40% $39,790; 60% $64,484; 80% $108,266; 90% $143,373; 95%
$204,296; 99% $506,210; 99.9% $2,655,675.
(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-Oct-12
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T12-0215
Fiscal Cliff Analysis
Step 8 of 9: Other 2001-03 Tax Provisions
Distribution of Federal Tax Change by Cash Income Percentile, 2013 1
Detail Table
Cash Income Percentile
2,3
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
Share of Federal Taxes
Percent
Change (%
Points)
Under the
Proposal
Average Federal Tax Rate6
Change (% Points)
Under the
Proposal
-0.5
-2.1
-2.0
-2.1
-2.2
-2.1
1.2
11.4
15.7
21.4
50.2
100.0
53
558
888
1,453
3,841
1,120
12.3
18.1
10.7
8.9
5.4
7.2
0.0
0.5
0.3
0.3
-1.1
0.0
0.7
5.0
11.0
17.6
65.5
100.0
0.5
1.9
1.7
1.7
1.6
1.6
4.3
12.1
17.6
21.1
30.4
23.9
-3.0
-3.0
-2.7
-0.6
0.0
19.1
12.4
14.5
4.2
0.1
2,900
3,816
5,582
6,546
869
10.5
9.6
7.2
1.0
0.0
0.4
0.2
0.0
-1.7
-1.0
13.5
9.5
14.6
28.0
14.3
2.3
2.3
1.9
0.4
0.0
24.2
26.2
28.9
38.4
40.5
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, 2013 1
Tax Units4
Cash Income Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Pre-Tax Income
Federal Tax Burden
After-Tax Income 5
2,3
Number
(thousands)
Percent of
Total
40,520
36,208
31,370
26,062
23,189
158,260
25.6
22.9
19.8
16.5
14.7
100.0
11,290
30,031
52,294
84,355
244,576
69,527
4.2
9.9
14.9
20.0
51.5
100.0
431
3,076
8,329
16,314
70,570
15,519
0.7
4.5
10.6
17.3
66.6
100.0
10,859
26,955
43,965
68,041
174,007
54,008
5.2
11.4
16.1
20.8
47.2
100.0
3.8
10.2
15.9
19.3
28.9
22.3
11,692
5,736
4,615
1,147
117
7.4
3.6
2.9
0.7
0.1
125,820
166,808
287,453
1,671,536
7,985,826
13.4
8.7
12.1
17.4
8.5
27,509
39,823
77,481
635,465
3,235,307
13.1
9.3
14.6
29.7
15.4
98,311
126,986
209,972
1,036,072
4,750,519
13.5
8.5
11.3
13.9
6.5
21.9
23.9
27.0
38.0
40.5
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average
Federal Tax
Rate 6
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0412-7).
Number of AMT Taxpayers (millions). Baseline: 3.3
Proposal: 1.2
(1) Calendar year. Initial baseline is current policy with the following modifications: extension of 2 percent payroll tax cut; repeal of the health care legislation taxes on earnings, and investment income; repeal of
the 10 percent limitation on the deductibility of medical expenses; and extension of certain business and other provisions. Baseline for this step is that modified form of current policy plus step 1 through 7 of the
fiscal cliff analysis. For a description of the fiscal cliff provisions, see:
http://www.taxpolicycenter.org/publications/url.cfm?ID=412666
For a description of TPC's current policy baseline, see:
http://www.taxpolicycenter.org/T11-0270
(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 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 2012 dollars): 20%
$20,113; 40% $39,790; 60% $64,484; 80% $108,266; 90% $143,373; 95% $204,296; 99% $506,210; 99.9% $2,655,675.
(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-Oct-12
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T12-0215
Fiscal Cliff Analysis
Step 8 of 9: Other 2001-03 Tax Provisions
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table
Cash Income Percentile
2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent
Change in
After-Tax
5
Income
Share of
Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Average Federal Tax Rate6
Share of Federal Taxes
Percent
Change (%
Points)
Under the
Proposal
Change (%
Points)
Under the
Proposal
-1.1
-2.5
-2.0
-2.0
-2.1
-2.1
2.1
11.2
14.1
19.8
52.8
100.0
112
609
802
1,169
3,093
1,120
183.7
27.7
12.1
8.5
5.3
7.2
0.1
0.6
0.4
0.2
-1.3
0.0
0.2
3.5
8.8
17.0
70.4
100.0
1.1
2.3
1.7
1.6
1.5
1.6
1.7
10.5
16.0
20.4
30.0
23.9
-2.5
-2.8
-2.7
-0.7
0.0
17.9
13.4
16.4
5.0
0.1
2,121
3,010
4,878
6,406
1,674
9.1
8.9
7.5
1.2
0.1
0.3
0.2
0.0
-1.7
-1.1
14.5
11.1
15.9
29.0
15.0
2.0
2.1
2.0
0.4
0.0
23.8
25.8
28.6
38.4
40.6
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 Units
Cash Income Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
4
Pre-Tax Income
Federal Tax Burden
After-Tax Income
5
2,3
Number
(thousands)
Percent of
Total
33,405
32,563
31,164
29,985
30,233
158,260
21.1
20.6
19.7
19.0
19.1
100.0
10,552
26,837
46,562
73,219
204,490
69,527
3.2
7.9
13.2
20.0
56.2
100.0
61
2,195
6,629
13,729
58,214
15,519
0.1
2.9
8.4
16.8
71.7
100.0
10,491
24,642
39,933
59,490
146,276
54,008
4.1
9.4
14.6
20.9
51.7
100.0
0.6
8.2
14.2
18.8
28.5
22.3
14,991
7,896
5,972
1,374
139
9.5
5.0
3.8
0.9
0.1
106,847
142,978
244,529
1,448,832
6,989,966
14.6
10.3
13.3
18.1
8.9
23,301
33,835
65,062
549,277
2,833,744
14.2
10.9
15.8
30.7
16.1
83,546
109,144
179,467
899,555
4,156,222
14.7
10.1
12.5
14.5
6.8
21.8
23.7
26.6
37.9
40.5
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average
Federal Tax
6
Rate
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0412-7).
Number of AMT Taxpayers (millions). Baseline: 3.3
Proposal: 1.2
(1) Calendar year. Initial baseline is current policy with the following modifications: extension of 2 percent payroll tax cut; repeal of the health care legislation taxes on earnings, and investment income; repeal
of the 10 percent limitation on the deductibility of medical expenses; and extension of certain business and other provisions. Baseline for this step is that modified form of current policy plus step 1 through 7
of the fiscal cliff analysis. For a description of the fiscal cliff provisions, see:
http://www.taxpolicycenter.org/publications/url.cfm?ID=412666
For a description of TPC's current policy baseline, see:
http://www.taxpolicycenter.org/T11-0270
(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 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 2012 dollars): 20% $13,941; 40% $26,136; 60% $41,226; 80% $64,003; 90% $88,398;
95% $122,605; 99% $295,996; 99.9% $1,565,087.
(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-Oct-12
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T12-0215
Fiscal Cliff Analysis
Step 8 of 9: Other 2001-03 Tax Provisions
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table - Single Tax Units
Cash Income Percentile
2,3
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
Average Federal Tax Rate6
Share of Federal Taxes
Percent
Change (%
Points)
Under the
Proposal
Change (% Points)
Under the
Proposal
-0.2
-1.1
-1.2
-1.3
-2.0
-1.5
1.1
10.4
15.2
20.0
53.3
100.0
17
192
358
546
1,818
443
3.2
9.6
6.8
5.0
4.6
5.2
0.0
0.2
0.2
0.0
-0.3
0.0
1.7
5.9
11.9
20.7
59.6
100.0
0.2
1.0
1.0
1.0
1.4
1.1
6.9
10.9
16.4
21.6
31.0
22.9
-1.8
-2.2
-2.8
-1.0
-0.1
14.9
13.0
19.4
6.0
0.3
1,004
1,711
3,354
5,599
3,456
5.5
6.4
7.0
1.5
0.2
0.0
0.1
0.3
-0.7
-0.5
14.1
10.6
14.7
20.2
10.3
1.3
1.6
2.0
0.6
0.1
25.3
27.1
30.4
41.1
43.5
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 Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Pre-Tax Income
Federal Tax Burden
After-Tax Income 5
2,3
Number
(thousands)
Percent of
Total
19,721
17,211
13,567
11,717
9,354
72,035
27.4
23.9
18.8
16.3
13.0
100.0
8,091
20,316
34,462
52,696
132,560
39,146
5.7
12.4
16.6
21.9
44.0
100.0
542
2,016
5,302
10,856
39,265
8,508
1.7
5.7
11.7
20.8
59.9
100.0
7,549
18,300
29,160
41,841
93,295
30,638
6.8
14.3
17.9
22.2
39.5
100.0
6.7
9.9
15.4
20.6
29.6
21.7
4,749
2,416
1,849
340
31
6.6
3.4
2.6
0.5
0.0
75,578
104,552
168,798
931,104
4,955,926
12.7
9.0
11.1
11.2
5.4
18,127
26,654
47,942
377,229
2,153,784
14.1
10.5
14.5
20.9
10.8
57,451
77,897
120,856
553,875
2,802,142
12.4
8.5
10.1
8.5
3.9
24.0
25.5
28.4
40.5
43.5
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average
Federal Tax
Rate 6
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0412-7).
(1) Calendar year. Initial baseline is current policy with the following modifications: extension of 2 percent payroll tax cut; repeal of the health care legislation taxes on earnings, and investment income; repeal of
the 10 percent limitation on the deductibility of medical expenses; and extension of certain business and other provisions. Baseline for this step is that modified form of current policy plus step 1 through 7 of the
fiscal cliff analysis. For a description of the fiscal cliff provisions, see:
http://www.taxpolicycenter.org/publications/url.cfm?ID=412666
For a description of TPC's current policy baseline, see:
http://www.taxpolicycenter.org/T11-0270
(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 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 2012 dollars): 20% $13,941; 40% $26,136; 60% $41,226; 80% $64,003; 90% $88,398; 95%
$122,605; 99% $295,996; 99.9% $1,565,087.
(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-Oct-12
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T12-0215
Fiscal Cliff Analysis
Step 8 of 9: Other 2001-03 Tax Provisions
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table - Married Tax Units Filing Jointly
Cash Income Percentile
2,3
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
Average Federal Tax Rate6
Share of Federal Taxes
Percent
Change (%
Points)
Under the
Proposal
Change (% Points)
Under the
Proposal
-2.4
-3.5
-2.4
-2.3
-2.2
-2.3
1.5
7.5
11.9
20.3
58.7
100.0
342
1,177
1,210
1,680
3,862
2,081
-808.2
42.1
15.9
10.6
5.7
7.6
0.1
0.4
0.4
0.4
-1.4
0.0
0.1
1.8
6.1
14.9
76.9
100.0
2.4
3.2
2.1
1.9
1.6
1.8
2.1
10.9
15.0
19.6
29.7
25.3
-2.9
-3.0
-2.8
-0.7
0.0
20.5
15.2
17.8
5.3
0.1
2,798
3,749
5,806
6,851
1,471
10.7
10.0
7.9
1.1
0.1
0.4
0.3
0.1
-2.1
-1.3
14.9
11.7
17.1
33.3
17.0
2.3
2.3
2.1
0.4
0.0
23.3
25.3
28.1
37.9
40.1
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, 2013 1
Tax Units4
Cash Income Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Pre-Tax Income
Federal Tax Burden
After-Tax Income 5
2,3
Number
(thousands)
Percent of
Total
5,376
8,093
12,453
15,271
19,208
60,744
8.9
13.3
20.5
25.1
31.6
100.0
14,486
36,595
58,915
89,679
241,961
116,746
1.1
4.2
10.4
19.3
65.5
100.0
-42
2,799
7,600
15,882
68,052
27,485
0.0
1.4
5.7
14.5
78.3
100.0
14,528
33,797
51,315
73,796
173,909
89,260
1.4
5.0
11.8
20.8
61.6
100.0
-0.3
7.7
12.9
17.7
28.1
23.5
9,257
5,109
3,865
977
101
15.2
8.4
6.4
1.6
0.2
123,947
162,264
282,834
1,615,663
7,547,627
16.2
11.7
15.4
22.3
10.7
26,058
37,321
73,534
605,146
3,028,129
14.5
11.4
17.0
35.4
18.3
97,889
124,943
209,300
1,010,517
4,519,497
16.7
11.8
14.9
18.2
8.4
21.0
23.0
26.0
37.5
40.1
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average
Federal Tax
Rate 6
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0412-7).
(1) Calendar year. Initial baseline is current policy with the following modifications: extension of 2 percent payroll tax cut; repeal of the health care legislation taxes on earnings, and investment income; repeal of
the 10 percent limitation on the deductibility of medical expenses; and extension of certain business and other provisions. Baseline for this step is that modified form of current policy plus step 1 through 7 of the
fiscal cliff analysis. For a description of the fiscal cliff provisions, see:
http://www.taxpolicycenter.org/publications/url.cfm?ID=412666
For a description of TPC's current policy baseline, see:
http://www.taxpolicycenter.org/T11-0270
(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 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 2012 dollars): 20% $13,941; 40% $26,136; 60% $41,226; 80% $64,003; 90% $88,398; 95%
$122,605; 99% $295,996; 99.9% $1,565,087.
(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-Oct-12
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T12-0215
Fiscal Cliff Analysis
Step 8 of 9: Other 2001-03 Tax Provisions
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table - Head of Household Tax Units
Cash Income Percentile
2,3
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
Average Federal Tax Rate6
Share of Federal Taxes
Percent
Change (%
Points)
Under the
Proposal
Change (% Points)
Under the
Proposal
-1.3
-3.3
-2.4
-1.8
-1.4
-2.2
8.9
38.6
26.3
14.6
11.5
100.0
192
981
1,024
1,016
1,637
751
-17.6
53.7
13.1
7.2
3.8
13.8
1.9
3.5
-0.2
-1.6
-3.6
0.0
-5.0
13.4
27.5
26.4
37.7
100.0
1.4
3.1
2.1
1.4
1.0
1.9
-6.4
8.8
17.7
21.1
27.6
15.5
-1.6
-1.7
-1.5
-0.6
0.0
5.4
2.7
2.5
0.9
0.0
1,270
1,711
2,492
4,770
314
5.5
5.3
4.2
1.0
0.0
-1.0
-0.5
-0.7
-1.4
-0.8
12.6
6.5
7.7
10.9
5.5
1.2
1.3
1.1
0.4
0.0
23.8
25.6
27.6
36.2
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 Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Pre-Tax Income
Federal Tax Burden
After-Tax Income 5
2,3
Number
(thousands)
Percent of
Total
8,034
6,829
4,455
2,489
1,222
23,101
34.8
29.6
19.3
10.8
5.3
100.0
13,983
31,795
49,950
71,792
160,037
40,006
12.2
23.5
24.1
19.3
21.2
100.0
-1,091
1,826
7,812
14,160
42,598
5,453
-7.0
9.9
27.6
28.0
41.3
100.0
15,074
29,969
42,137
57,632
117,439
34,553
15.2
25.6
23.5
18.0
18.0
100.0
-7.8
5.7
15.6
19.7
26.6
13.6
740
273
176
32
3
3.2
1.2
0.8
0.1
0.0
102,711
133,416
226,780
1,339,304
6,750,433
8.2
4.0
4.3
4.7
2.2
23,171
32,407
60,073
480,244
2,585,482
13.6
7.0
8.4
12.3
6.2
79,539
101,010
166,707
859,059
4,164,950
7.4
3.5
3.7
3.5
1.6
22.6
24.3
26.5
35.9
38.3
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average
Federal Tax
Rate 6
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0412-7).
(1) Calendar year. Initial baseline is current policy with the following modifications: extension of 2 percent payroll tax cut; repeal of the health care legislation taxes on earnings, and investment income; repeal of
the 10 percent limitation on the deductibility of medical expenses; and extension of certain business and other provisions. Baseline for this step is that modified form of current policy plus step 1 through 7 of the
fiscal cliff analysis. For a description of the fiscal cliff provisions, see:
http://www.taxpolicycenter.org/publications/url.cfm?ID=412666
For a description of TPC's current policy baseline, see:
http://www.taxpolicycenter.org/T11-0270
(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 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 2012 dollars): 20% $13,941; 40% $26,136; 60% $41,226; 80% $64,003; 90% $88,398; 95%
$122,605; 99% $295,996; 99.9% $1,565,087.
(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-Oct-12
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T12-0215
Fiscal Cliff Analysis
Step 8 of 9: Other 2001-03 Tax Provisions
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table - Tax Units with Children
Cash Income Percentile
2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent
Change in
After-Tax
5
Income
Share of
Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Average Federal Tax Rate6
Share of Federal Taxes
Percent
Change (%
Points)
Under the
Proposal
Change (%
Points)
Under the
Proposal
-1.9
-4.2
-3.0
-2.6
-2.0
-2.5
3.8
17.7
18.5
22.6
37.3
100.0
305
1,430
1,576
2,012
3,865
1,731
-23.0
62.6
16.2
10.5
4.9
9.0
0.4
1.3
0.7
0.3
-2.6
0.0
-1.1
3.8
10.9
19.6
66.6
100.0
2.1
3.9
2.5
2.1
1.4
2.0
-7.0
10.2
18.2
21.6
30.4
23.8
-2.9
-2.6
-2.2
-0.6
0.0
16.5
7.6
9.8
3.5
0.0
3,121
3,864
5,136
6,812
-129
9.9
8.1
5.8
1.0
0.0
0.1
-0.1
-0.5
-2.2
-1.2
15.1
8.3
14.8
28.3
13.5
2.2
2.0
1.6
0.4
0.0
24.9
26.3
28.9
37.7
39.7
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 Units
Cash Income Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
4
Pre-Tax Income
Federal Tax Burden
After-Tax Income
5
2,3
Number
(thousands)
Percent of
Total
10,949
10,714
10,166
9,735
8,378
50,150
21.8
21.4
20.3
19.4
16.7
100.0
14,497
36,326
62,074
97,977
273,829
87,888
3.6
8.8
14.3
21.6
52.1
100.0
-1,324
2,283
9,719
19,129
79,484
19,191
-1.5
2.5
10.3
19.4
69.2
100.0
15,821
34,044
52,356
78,848
194,345
68,698
5.0
10.6
15.5
22.3
47.3
100.0
-9.1
6.3
15.7
19.5
29.0
21.8
4,581
1,696
1,662
439
40
9.1
3.4
3.3
0.9
0.1
139,259
196,218
322,508
1,792,201
8,825,262
14.5
7.6
12.2
17.9
8.1
31,536
47,758
88,141
669,055
3,502,481
15.0
8.4
15.2
30.6
14.7
107,723
148,460
234,366
1,123,146
5,322,781
14.3
7.3
11.3
14.3
6.2
22.7
24.3
27.3
37.3
39.7
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average
Federal Tax
6
Rate
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0412-7).
Note: Tax units with children are those claiming an exemption for children at home or away from home.
(1) Calendar year. Initial baseline is current policy with the following modifications: extension of 2 percent payroll tax cut; repeal of the health care legislation taxes on earnings, and investment income; repeal
of the 10 percent limitation on the deductibility of medical expenses; and extension of certain business and other provisions. Baseline for this step is that modified form of current policy plus step 1 through 7
of the fiscal cliff analysis. For a description of the fiscal cliff provisions, see:
http://www.taxpolicycenter.org/publications/url.cfm?ID=412666
For a description of TPC's current policy baseline, see:
http://www.taxpolicycenter.org/T11-0270
(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 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 2012 dollars): 20% $13,941; 40% $26,136; 60% $41,226; 80% $64,003; 90% $88,398;
95% $122,605; 99% $295,996; 99.9% $1,565,087.
(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-Oct-12
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T12-0215
Fiscal Cliff Analysis
Step 8 of 9: Other 2001-03 Tax Provisions
Distribution of Federal Tax Change by Cash Income Percentile Adjusted for Family Size, 2013 1
Detail Table - Elderly Tax Units
Cash Income Percentile
2,3
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
Percent
Change in
After-Tax
5
Income
Share of
Total
Federal Tax
Change
Average Federal Tax Change
Dollars
Average Federal Tax Rate6
Share of Federal Taxes
Percent
Change (%
Points)
Under the
Proposal
Change (%
Points)
Under the
Proposal
0.0
-0.2
-0.8
-1.5
-2.5
-1.7
0.0
1.1
7.7
17.7
73.5
100.0
3
39
301
899
3,531
909
2.9
9.2
14.5
12.8
6.6
7.6
0.0
0.0
0.3
0.5
-0.8
0.0
0.1
0.9
4.2
11.0
83.6
100.0
0.0
0.2
0.7
1.4
1.8
1.4
0.9
2.1
5.7
12.0
28.9
19.6
-2.5
-3.1
-3.5
-1.0
-0.1
19.8
18.8
27.0
8.0
0.4
2,069
3,374
5,881
7,201
3,305
13.2
13.0
10.5
1.4
0.1
0.6
0.6
0.5
-2.4
-1.6
12.0
11.5
20.0
40.3
20.9
2.1
2.5
2.6
0.6
0.1
18.1
21.9
27.7
40.7
42.8
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 Units
Cash Income Percentile
Lowest Quintile
Second Quintile
Middle Quintile
Fourth Quintile
Top Quintile
All
4
Pre-Tax Income
Federal Tax Burden
After-Tax Income
5
2,3
Number
(thousands)
Percent of
Total
5,152
8,903
8,102
6,300
6,648
35,135
14.7
25.3
23.1
17.9
18.9
100.0
10,284
22,201
41,688
66,058
197,406
65,837
2.3
8.6
14.6
18.0
56.7
100.0
94
420
2,073
7,033
53,559
12,007
0.1
0.9
4.0
10.5
84.4
100.0
10,190
21,781
39,615
59,025
143,847
53,830
2.8
10.3
17.0
19.7
50.6
100.0
0.9
1.9
5.0
10.7
27.1
18.2
3,052
1,778
1,463
354
35
8.7
5.1
4.2
1.0
0.1
98,141
133,313
223,287
1,267,910
6,252,940
13.0
10.3
14.1
19.4
9.6
15,707
25,874
55,982
508,828
2,674,973
11.4
10.9
19.4
42.7
22.4
82,434
107,440
167,305
759,082
3,577,967
13.3
10.1
12.9
14.2
6.7
16.0
19.4
25.1
40.1
42.8
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average (dollars)
Percent of
Total
Average
Federal Tax
6
Rate
Addendum
80-90
90-95
95-99
Top 1 Percent
Top 0.1 Percent
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0412-7).
Note: Elderly tax units are those with either head or spouse (if filing jointly) age 65 or older.
(1) Calendar year. Initial baseline is current policy with the following modifications: extension of 2 percent payroll tax cut; repeal of the health care legislation taxes on earnings, and investment income; repeal
of the 10 percent limitation on the deductibility of medical expenses; and extension of certain business and other provisions. Baseline for this step is that modified form of current policy plus step 1 through 7
of the fiscal cliff analysis. For a description of the fiscal cliff provisions, see:
http://www.taxpolicycenter.org/publications/url.cfm?ID=412666
For a description of TPC's current policy baseline, see:
http://www.taxpolicycenter.org/T11-0270
(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 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 2012 dollars): 20% $13,941; 40% $26,136; 60% $41,226; 80% $64,003; 90% $88,398;
95% $122,605; 99% $295,996; 99.9% $1,565,087.
(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.