1-Oct-12
PRELIMINARY RESULTS
http://www.taxpolicycenter.org
Table T12-0228
Fiscal Cliff Provisions
Tax Increases by Cash Income Level, 2013 1
Tax Units 3
Cash Income Level
(thousands of 2012
dollars) 2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Tax Units with a Tax Increase 4
Number
(thousands)
Percent of
Total
16,041
24,243
19,317
17,482
13,879
25,633
14,610
20,204
4,780
728
433
158,260
10.1
15.3
12.2
11.1
8.8
16.2
9.2
12.8
3.0
0.5
0.3
100.0
All Fiscal Cliff Provisions
Percent
within Class
68.1
66.3
83.1
94.5
97.6
99.5
99.9
100.0
99.8
100.0
100.0
88.4
Avg Tax
Increase ($)
297
784
1,215
1,438
1,721
2,319
3,560
6,383
13,934
34,635
216,515
3,637
Payroll Tax
Percent
within Class
Health Care Law Provisions
Avg Tax
Increase ($)
64.2
61.1
72.3
77.3
79.5
83.0
86.2
89.4
88.8
90.4
89.5
76.6
106
250
406
572
722
980
1,385
1,973
2,568
2,796
2,855
942
Percent
within Class
0.0
0.5
2.1
3.1
3.9
5.4
5.0
4.7
46.8
98.6
99.5
5.1
Avg Tax
Increase ($)
0
37
65
90
118
183
281
477
1,070
5,678
45,442
3,360
High Income Capital Gains
and Dividends
Percent
Avg Tax
within Class
Increase ($)
0.0
0.0
0.0
0.0
0.0
0.0
0.0
*
13.5
76.5
88.2
1.0
0
0
0
0
0
0
0
**
1,639
5,219
50,115
14,566
Tax Units with a Tax Increase
Cash Income Level
(thousands of 2012
dollars)
2
Less than 10
10-20
20-30
30-40
40-50
50-75
75-100
100-200
200-500
500-1,000
More than 1,000
All
Stimulus Provisions EITC, CTC,
and AOTC
Percent
Avg Tax
within Class
Increase ($)
19.1
24.5
21.8
17.3
18.3
8.6
8.6
9.8
0.6
*
*
15.4
666
1,070
996
872
779
811
894
1,294
987
**
**
937
Certain Individual Income Tax
Extenders 5
Percent
Avg Tax
within Class
Increase ($)
0.0
1.1
3.3
5.0
7.6
13.2
17.9
25.2
11.6
1.5
0.7
9.2
0
62
116
124
121
198
241
409
484
130
123
275
Estate Tax
Percent
within Class
0.0
0.0
*
*
*
*
0.1
0.1
0.2
0.3
0.4
*
Avg Tax
Increase ($)
0
0
**
**
**
**
423,168
563,191
1,155,033
1,573,387
2,571,568
**
Other 2001-03 Tax Provisions
Percent
within Class
0.5
34.0
66.6
83.8
88.4
96.5
98.5
98.8
95.6
90.1
86.5
71.3
Avg Tax
Increase ($)
546
249
690
795
871
1,094
1,499
3,059
5,808
7,957
8,842
1,579
Alternative Minimum Tax
Patch
Percent
Avg Tax
within Class
Increase ($)
0.0
0.0
0.4
2.5
5.5
12.3
32.8
43.8
71.7
8.9
0.8
13.6
0
0
670
892
1,244
1,314
1,508
2,064
3,880
4,253
4,422
2,069
Source: Urban-Brookings Tax Policy Center Microsimulation Model (version 0412-7).
* Less than 0.05 percent. ** Insufficient data to calculate an average.
(1) Calendar year. Provisions are stacked in the order listed. 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. For a description of TPC's
current policy baseline, see:
http://taxpolicycenter.org/numbers/displayatab.cfm?Docid=3131
(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) Includes both filing and non-filing units but excludes those that are dependents of other tax units.
(4) Threshold for tax increase is $10. Average is calculated for those tax units with a tax increase. For a description of the provisions, see
http://www.taxpolicycenter.org/publications/url.cfm?ID=412666
(5) Deduction for state and local sales taxes, the above-the-line deduction for education expenses, and the educator expense deduction.
High Income Rates, Pease,
and PEP
Percent
Avg Tax
within Class
Increase ($)
0.0
0.0
0.0
0.0
0.0
0.0
0.0
*
15.8
76.2
90.0
1.1
0
0
0
0
0
0
0
**
1,665
12,900
114,202
31,093