How much do Americans pay in income taxes?
The amount of income tax collected from individuals and corporations has changed over the years due to factors like the economy, tax laws, and population size.
and Federal Tax Rates
In 2011, the government collected $1.1T in income taxes, a 27% increase since 2002.
Your tax rate is what percentage of
your income you have to pay to meet
your tax obligation.
Based on income, here are the
rates for 2012:
* Unmarried, Divorced, or Legally Separated
** Unmarried With at Least One Dependent and Responsible for 50% or More of Household Expenses
There are different types of income tax
that we pay:
Employers withhold the payroll tax
on behalf of their employees, and both
state and federal authorities collect it in
some form, such as Medicare and Social
INDIVIDUAL INCOME TAX:
Also known as a personal tax, income taxes apply to all earnings: salary, gains on the sale of stock, interest on bank accounts and retirement plan distributions.
Levied on the profit earned by a
business, with different rates for
different levels of profits.
Levied on an heir’s inherited portion of an estate if the value of the estate exceeds a value of $5 million.