IRS announces 2016 Summer Statistics
September 2, 2016, The Internal Revenue Service (“IRS”) today announced that the summer 2016 issue of the Statistics of Income Bulletin is available on IRS.gov. The Statistics of Income (“SOI”) Division produces the online Bulletin quarterly, providing the most recent data available from various tax and information returns filed by U.S. taxpayers. This issue includes articles on the following topics:
2013 High-Income Tax Returns
There were slightly more than 5.6 million individual income tax returns with an income of $200,000 or more, accounting for 3.8 % of all returns for the year. Of these, 12,794 returns had no income tax liability, a 4.9 % decline from the number of returns with no income tax liability for 2012, and the fourth decrease in a row since reaching an all-time high of 19,551 returns for 2009.
2013 Individual Noncash Contributions
Individual taxpayers who itemized deductions reported a total of $51.6 billion in noncash charitable contributions on a total of 22.2 million returns. About a third (7.7 million) of these returns reported $46.4 billion in charitable contribution deductions using Form 8283, Noncash Charitable Contributions. Individual taxpayers use this form when the amount of taxpayer deductions for all noncash donations on Schedule A, Itemized Deductions, exceeds $500.
2013 Individual Income Tax Shares
Taxpayers filed 138.3 million individual income tax returns, excluding returns filed by dependents. The average adjusted gross income (AGI) reported on these returns was $65,314, down from $66,444 for the previous year.
Total AGI decreased 0.1 % to $9.03 trillion, while total income tax increased 4.0 % to $1.23 trillion. The AGI threshold for the top 50 % of all individual income tax returns was $36,841. These taxpayers accounted for 88.5 % of total AGI and paid 97.2 percent of total income tax.
The top 0.001% of tax returns had an AGI of $45,097,112 or more. These taxpayers accounted for 1.9 % of total AGI, and paid 3.3 % of total income tax. The average tax rate of 13.64 % for all returns in 2013 was the highest of this 10-year study.
2012 Corporate Foreign Tax Credit
Corporations reported over $109.6 billion in foreign tax credits, which is almost identical to the amount claimed in 2011. Foreign source taxable income from corporations claiming the foreign tax credit decreased 1.6 % from 2011, to $420 billion for 2012, while their current foreign taxes paid increased 21.3 %, to $49.3 billion.
Firms in the manufacturing industry accounted for almost three-fifths of the foreign source taxable income. Together, the Netherlands, the United Kingdom, Canada, and Japan were responsible for 28.7 % of the foreign source taxable income.
Zaher Fallahi, Tax attorney, CPA, advises taxpayers including Americans-living abroad, with their taxes, IRS representation, foreign accounts (FBAR, FATCA, OVDP, foreign trusts). Telephones (310) 719-1040 (Los Angeles), (714) 546-4272 (Orange County), or e-mail to: [email protected]