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Showing posts from January, 2013

Tax Burden: Who Pays What?

The info below provides a good summary from the Kiplinger Tax Letter on who pays taxes in the US and to what extent.

(From Kiplinger Tax Letter)

Do the rich pay taxes?  New IRS statistics show the burden on taxpayers.

The top 1% of all filers paid 37.4% of all federal income taxes in 2010, the most recent year IRS has analyzed.  That's up from 36.3% the previous year. They reported 18.9% of total adjusted gross income, also higher than the year before.  However, the average tax rate paid by the top 1% fell slightly to 23.4% of their AGI.  Filers needed to have AGI of at least $369,691 to qualify for the top 1% of earners.

The highest 5% paid 59.1% of total income tax and accounted for 33.8% of all adjusted gross income.  They each had AGI of at least $161,579.  The top 10% of filers, those with AGIs of $116,623 or more, bore 70.6% of the total tax burden while bringing in slightly more than 45% of the total adjusted gross income.

The bottom 50% of filers paid 2.36% of the tot…