TABLE E-16 Simplified Tax Structure: Average Tax Rates and Tax Distribution for Virtually All Federal Taxes Combined, 2060

 

Average Tax Rate (percentage)

Percentage Share of Tax Burden

Percentage Change in After-Tax Incomea

Low Spending and Revenues Scenario

First Quintile

9.6

1.5

−2.4

Second Quintile

14.7

5.0

−2.2

Third Quintile

20.5

12.2

−1.3

Fourth Quintile

23.7

20.7

−0.9

Fifth Quintile

23.4

60.5

2.4

All

22.0

100.0

0.7

Top 10 Percent

23.2

46.5

3.1

Top 5 Percent

22.8

35.7

3.3

Intermediate-1 Spending and Revenues Scenario

First Quintile

12.1

1.7

−5.1

Second Quintile

18.4

5.7

−6.4

Third Quintile

24.3

13.2

−6.0

Fourth Quintile

27.0

21.5

−5.3

Fifth Quintile

24.6

57.8

0.8

All

24.2

100.0

−2.1

Top 10 Percent

23.9

43.6

2.1

Top 5 Percent

23.1

33.0

2.8

Intermediate-2 Spending and Revenues Scenario

First Quintile

12.4

1.6

−5.4

Second Quintile

18.7

5.3

−6.8

Third Quintile

25.5

12.6

−7.5

Fourth Quintile

28.9

20.9

−7.7

Fifth Quintile

27.9

59.6

−3.7

All

26.6

100.0

−5.3

Top 10 Percent

27.5

45.7

−2.8

Top 5 Percent

27.0

35.0

−2.3

High Spending and Revenues Scenario

First Quintile

14.3

1.6

−7.5

Second Quintile

22.5

5.5

−11.1

Third Quintile

29.8

12.8

−12.8

Fourth Quintile

33.1

20.9

−13.1

Fifth Quintile

31.7

59.0

−8.6

All

30.5

100.0

−10.2

Top 10 Percent

31.2

45.2

−7.6

Top 5 Percent

30.5

34.7

−7.1

aCompared with the after-tax income under current law. “Minus” means that after-tax income is reduced.



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