Note: Table does not include dependent filers. Summary of Federal Income Tax Data, Tax Year 2018 The share of AGI reported by the top 1 percent fell slightly to 20.9 from 21.0 percent in 2017, while the income tax burden share increased by 1.6 percentage points to 40.1 percent from 38.5 percent in 2017. The average individual income tax rate for all taxpayers fell from 14.6 percent to 13.3 percent. Altogether, taxpayers paid $1.5 trillion in income taxes in 2018, down about 4 percent from 2017.

While the number of returns and amount of AGI rose, total income taxes paid fell by $65 billion. Average AGI rose by $3,806, or 5 percent. That is just over 1 million more returns filed than in 2017 and $627 billion more in AGI reported than in 2017. Taxpayers reported $11.6 trillion in adjusted gross income (AGI) on 144.3 million tax returns in 2018, the year the Tax Cuts and Jobs Act (TCJA) took effect. Reported Income Increased While Taxes Paid Decreased in Tax Year 2018 The top 1 percent of taxpayers paid a 25.4 percent average individual income tax rate, which is more than seven times higher than taxpayers in the bottom 50 percent (3.4 percent).The top 1 percent paid a greater share of individual income taxes (40.1 percent) than the bottom 90 percent combined (28.6 percent).In 2018, the top 50 percent of all taxpayers paid 97.1 percent of all individual income taxes, while the bottom 50 percent paid the remaining 2.9 percent.Since 2001, the share of federal income taxes paid by the top 1 percent increased from 33.2 percent to a new high of 40.1 percent in 2018.Their share of federal individual income taxes rose by 1.6 percentage points to 40.1 percent. The share of reported income earned by the top 1 percent of taxpayers fell slightly, to 20.9 percent in 2018 from 21 percent in 2017.The number of returns filed and the amount of income reported grew in 2018 yet average tax rates fell across every income group and total income taxes paid decreased by $65 billion. Tax year 2018 was the first under the Tax Cuts and Jobs Act (TCJA).In 2018, 144.3 million taxpayers reported earning $11.6 trillion in adjusted gross income (AGI) and paid $1.5 trillion in individual income taxes.Though barely 100 years old, individual income taxes are the largest source of tax revenue in the U.S.Ĭontinued to be progressive, borne primarily by the highest income earners. The Federal Income Tax was established in 1913 with the ratification of the 16th Amendment. imposes a progressive income tax where rates increase with income. individual income tax An individual income tax (or personal income tax) is levied on the wages, salaries, investments, or other forms of income an individual or household earns. The new data shows how taxes changed in the first tax year after passage of the Tax Cuts and Jobs Act (TCJA) in December 2017.

Year 2018, showing the number of taxpayers, adjusted gross income, and income tax shares by income percentiles.

The Internal Revenue Service (IRS) has released data on individual income taxes for tax A tax is a mandatory payment or charge collected by local, state, and national governments from individuals or businesses to cover the costs of general government services, goods, and activities.

Irs tax income brackets 2021