tax rate

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Related to Average tax rates: Marginal tax rates

Tax rate

The percentage of tax paid for different levels of income.

Tax Rate

A percentage of one's income that one must pay in taxes. Tax rates vary according to incomes. That is, one who makes $100,000 per year usually has a higher tax rate than one who makes $25,000. See also: Marginal tax rate, Average tax rate.

tax rate

The proportional amount of taxes paid on a given income or the given dollar value of an asset. If the tax is calculated on the basis of total income, it is the average tax rate. If the tax is calculated only on extra units of income, the rate is the marginal tax rate.

tax rate

the percentage rate at which a TAX is levied on income or expenditure. Tax rates are varied by government on social grounds (to redistribute income) and, as part of FISCAL POLICY, to increase or decrease spending.

tax rate

The percentage used to calculate various taxes.

References in periodicals archive ?
However, the progressive structure allows lower income households to pay at a lower average tax rate than higher income households, thereby shifting the financial burden of government to higher income households.
In third step, we apply average tax rate on respective tax base to calculate provincial potential tax revenue from each source j:
When discussing taxes, it is important to distinguish between marginal and average tax rates.
The internal comparison reveals that the BLS tax calculator produces total tax and average tax rates that have large and statistically significant differences when compared with those estimated using CE interviewees' responses.
While this could suggest that 35 percent of the corporate tax is shifted back onto shareholders, the correlation also reflects the impact of business cycles on profit and average tax rates.
Average tax rates have been used in past growth analyses, such as Karras (1999) and Crihfield et al.
Measures of effective average tax rates are characterized by a relative computational ease and enable one to construct yearly and therefore long time series.
Percentiles in Current and Constant Dollars, and Average Tax Rates, by
The article also includes some analysis of the changes, over time, in individual return filings, total income, average tax rate, and the alternative minimum tax.
The last decline in average tax rates was in 1991 when the economy declined, and the last time the average tax rate fell by a similar magnitude was for 1987, the first year under the Tax Reform Act of 1986.
Because TRA86 reduced statutory tax rates and broadened the definition of AGI (by eliminating or limiting the preferential treatment of various tax items, such as restricting the use of "passive losses" to offset "non-passive income" and including all net long-term capital gains), comparisons of average tax rates before and after 1986, based on current-year definitions of AGI, become less meaningful [3].
Because TRA86 reduced statutory tax rates and broadened the definition of AGI (by eliminating or limiting the preferential treatment of various tax items, such as restricting the use of "passive losses" to offset "non-passive income" and finally including net long-term capital gains), comparisons of average tax rates before and after 1986, based on current-year definitions of AGI, become less meaningful [3].