ABSTRACT

Taxpayers in the Top Income Tax Bracket: Statistics and Observations [May 3, 2021]   [open pdf - 747KB]

From the Document: "President Joe Biden has proposed [hyperlink] increasing the top marginal income tax rate on ordinary income to 39.6%. The top marginal income tax rate was reduced from 39.6% to 37% in the 2017 tax revision (commonly referred to as the 'Tax Cuts and Jobs Act' or TCJA; P.L. 115-97). TCJA's changes to individual income tax rates were enacted on a temporary basis, and are scheduled to expire after 2025. For 2021 [hyperlink], the top marginal tax rate of 37% applies to income above $628,300 for married taxpayers filing joint returns and income above $523,600 for single filers and head of household filers. This Insight uses data from the Internal Revenue Service's Statistics of Income [hyperlink] to examine taxpayers filing income tax returns that were subject to the top marginal income tax rate of 37% in 2018, as well as data and information from other sources to address questions about how raising the top marginal tax right might affect federal tax revenues and taxable income."

Report Number:
CRS Insight, IN11653
Author:
Publisher:
Date:
2021-05-03
Copyright:
Pubic Domain
Retrieved From:
Congressional Research Service: https://crsreports.congress.gov/
Format:
pdf
Media Type:
application/pdf
URL:
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