Federal Income Tax Rates by Household Income

I updated a previous graph, comparing the effective tax rates for the Federal Individual Income and Social Insurance (payroll) by adding Excise and Corporate Income. Additionally, I added the tax rates for the Top 1%. Note: the effective tax rate increases for both individual and corporate income the higher the household's income, while the social insurance and excise tax rate decreases. {Click on the image to take a closer look}

Minimum household income: Lowest Quintile $0 Second Quintile $17,900 Middle Quintile $30,500 Fourth Quintile $45,200 Highest Quintile $67,400 Top 1% $307,500

Data from Congressional Budget Office

Tax Rates: Individual Income vs Social Insurance 2005

Inspired by the tax rate graph in my previous post, I created this graph comparing the effective tax rates for the Federal Individual Income tax and Social Insurance (payroll) tax by household quintile. The Earned Income Tax Credit accounts for the negative individual income tax rate for the lowest and second quintiles. {Click on the image to take a closer look}

Data from Congressional Budget Office

Tax Collection by Type of Return 2006

From the IRS Tax Stats at a Glance, I have graphed the percent of returns compared to percent of dollars collected (before refunds), broken out by the type of tax: Individual, Employment, Corporate, Excise, Estate, and Gift.

US Income of Top 0.1 Percent vs Marginal Tax Rate

While the graph in my previous post compared the Top 0.1 percent in different countries, here I made a direct comparison between the US Top Marginal Tax Rate and the Top 0.1 percent income share since 1913. This time just focusing on the United States. {Click on the graph to take a closer look}

Again the effect by the two World Wars is there but what I wanted to emphasize is the relationship between the share of income going to the very wealthy and the change in the top marginal income tax rate.

The income data can be found on Emmanuel Saez's web site. I found the marginal tax rate for the United States in the SOI Bulletin Historical Table A at the IRS site via truthandpolitics.org