Tax cuts since 1979 reduce progressivity and revenue: Effective tax rates by type, 1979 vs. 2013
| Average Individual Income Tax Rate | Average Payroll Tax Rate | Average Corporate Income Tax Rate | ||||
|---|---|---|---|---|---|---|
| Year | 1979 | 2013 | 1979 | 2013 | 1979 | 2013 |
| Lowest quintile | 0.0 | -7.2 | 4.9 | 8.0 | 1.3 | 0.8 |
| Second quintile | 4.0 | -1.2 | 7.6 | 7.8 | 1.7 | 0.8 |
| Middle quintile | 7.4 | 2.6 | 8.5 | 8.3 | 2.0 | 0.9 |
| Fourth quintile | 10.1 | 6.1 | 8.5 | 9.0 | 2.2 | 1.2 |
| Highest quintile | 15.9 | 15.5 | 5.5 | 6.7 | 5.1 | 3.7 |
| All quintiles | 11.0 | 9.2 | 6.8 | 7.7 | 3.4 | 2.5 |
| 81st to 90th percentiles | 12.3 | 9.2 | 7.9 | 9.4 | 2.6 | 1.5 |
| 91st to 95th percentiles | 14.1 | 11.6 | 7.1 | 8.9 | 3.1 | 1.9 |
| 96th to 99th percentiles | 16.8 | 16.1 | 4.4 | 6.8 | 5.3 | 3.0 |
| Top 1 percent | 22.6 | 23.6 | 1.0 | 2.4 | 11.1 | 7.7 |
Source: Congressional Budget Office (2016c). The Distribution of Household Income and Federal Taxes, 2013