Progressivity of the overall tax system flattens near the top: Total federal, state, and local effective tax rates in 2016, by income percentile
Income group | Effective total tax rate |
---|---|
Bottom 20% | 19.3% |
Second 20% | 23.2% |
Middle 20% | 27.3% |
Fourth 20% | 30.6% |
Next 10% | 31.9% |
Next 5% | 32.5% |
Next 4% | 32.8% |
Top 1% | 33.7% |
Note: Figure is adapted from CTJ report (http://ctj.org/ctjreports/taxday2016.pdf ).
Source: Institute on Taxation and Economic Policy (ITEP) Tax Model, April 2016, and Citizens for Tax Justice (CTJ), April 2016