Historical U.S. Federal Corporate Income Tax Rates & Brackets, 1909-2020

Historical Federal Corporate Income TaxA corporate income tax (CIT) is levied by federal and state governments on business profits. Many companies are not subject to the CIT because they are taxed as pass-through businesses, with income reportable under the individual income tax. Rates and Brackets, 1909 to 2020

Year	Taxable Income Brackets	Rates (%)	Notes:
2018-2020	All taxable income	21	For tax years beginning after 2017, the Tax Cuts and Jobs Act (P.L. 115-97) replaced the graduated corporate tax structure with a flat 21% corporate tax rate.
1993-2017	First $50,000	15	The Revenue Reconciliation Act of 1993 increased the maximum corporate tax rate to 35% for corporations with taxable income over $10 million. Corporations with taxable income over $15 million are subject to an additional tax of 3% of the excess over $15 million, or $100,000, whichever is smaller
	$50,000-$75,000	25
	$75,000-$100,000	34
	$100,000-$335,000	39
	$335,000-$10,000,000	34
	$10,000,000-$15,000,000	35
	$15,000,000-$18,333,333	38
	Over $18,333,333	35
1988-1992	First $50,000	15
	$50,000-$75,000	25
	$75,000-$100,000	34
	$100,000-$335,000	39
	Over $335,000	34
1987	First $25,000	15	The Tax Reform Act of 1986 (TRA86) established a new rate structure effective for Tax Year 1988 and made the rates for Transition Year 1987 an average of the pre-TRA rates for 1986 and the post-TRA rates for 1988.
	$25,000-$50,000	16.5	A new “alternative minimum tax” (AMT) replaced the add-on minimum tax, effective in 1987. It required a calculation of an alternative measure of taxable income that reduced or eliminated many tax preference items. The tax was 20 percent of the excess of this “alternative minimum taxable income” (AMTI) over $40,000. The $40,000 exemption was reduced by 25 percent of the excess of AMTI over $150,000. AMT in excess of regular tax could be carried over as a credit against regular tax in future years. In 1998, “small” corporations (generally, those with average gross receipts of less than $5 million) were exempted from the AMT.
	$50,000-$75,000	27.5
	$75,000-$100,000	37	The maximum tax rate on capital gains was capped at 34 percent for 1987, which was to be the rate on the highest corporate tax bracket in 1988 and after, according to TRA86. The maximum capital gain rate was raised to 35 percent when the highest corporate rate bracket was increased in 1993.
	$100,000-$335,000	42.5
	$335,000-$1,000,000	40
	$1,000,000-$1,405,000	42.5
	Over $1,405,000	40
1984-1986	First $25,000	15
	$25,000-$50,000	18
	$50,000-$75,000	30	The maximum tax rate on long-term capital gains was 28 percent.
	$75,000-$100,000	40
	$100,000-$1,000,000	46
	$1,000,000-$1,405,000	51
	Over $1,405,000	46
1983	First $25,000	15	Beginning in 1983, incorporated professional practices (“personal service corporations”) have been taxed on all taxable income at the corporate tax rate applicable to the highest income bracket.
	$25,000-$50,000	18
	$50,000-$75,000	30	The maximum tax rate on long-term capital gains was 28 percent.
	$75,000-$100,000	40
	Over $100,000	46
1982	First $25,000	16
	$25,000-$50,000	19
	$50,000-$75,000	30	The maximum tax rate on long-term capital gains was 28 percent.
	$75,000-$100,000	40
	Over $100,000	46
1979-1981	First $25,000	17
	$25,000-$50,000	20
	$50,000-$75,000	30	The maximum tax rate on long-term capital gains was 28 percent.
	$75,000-$100,000	40
	Over $100,000	46
1975-1978	First $25,000	20
	$25,000-$50,000	22
	Over $50,000	48	The holding period for long-term capital gain treatment of assets was increased from 6 months to 9 months in 1977 and 12 months in 1978. The rate remained at 30 percent.
1971-1974	First $25,000	22
	Over $25,000	48	The maximum tax rate on long-term capital gains was increased to 30 percent.
1970	First $25,000	22.55	Includes a 2.5 percent Vietnam War surcharge.
	Over $25,000	49.2	The maximum tax rate on long-term capital gains was increased to 28 percent.
1968-1969	First $25,000	24.2	From 1969 through 1986, corporations were also subject to an “add-on minimum tax” on certain “tax preference” items (such as percentage depletion, accelerated depreciation) above a certain amount. For Tax Years 1969 through 1976, the tax was 10 percent of tax preferences in excess of $30,000; after 1976, the tax was 15 percent of preferences in excess of the greater of $10,000 or regular income tax.
	Over $25,000	52.8	Rates include the Vietnam War surcharge of 10 percent.
1965-1967	First $25,000	22
	Over $25,000	48
1964	First $25,000	22
	Over $25,000	50
1952-1963	First $25,000	30	From April 1, 1954, through Calendar Year 1969, the maximum tax rate on capital gains was 25 percent.
	Over $25,000	52
1951	First $25,000	28.75	These rates reflect a tax increase (for the Korean War), effective March 31, 1951. The maximum capital gain tax rate was also increased to 26 percent.
	Over $25,000	50.75
1950	First $25,000	23	An excess profits tax was also in effect from July 1950 through Calendar Year 1953. The tax was 30 percent of an adjusted profits figure reduced by credits for the level of prewar profits. It was not offset against income tax, but the sum of income and excess profits taxes was capped at a given percentage of income (from 62 percent to 70 percent).
	Over $25,000	42	Beginning with Tax Year 1942, gains on the sale of assets held for more than 6 months (long-term capital gains) could be treated separately from other taxable income and taxed at a maximum rate of 25 percent.
1946-1949	Taxable income $50,000 or less:		These rates are the sum of the “normal tax” rates and the “surtax” rates, which actually applied to slightly different definitions of taxable income.
	First $5,000	21
	Next $15,000	23
	Next $5,000	25
	Next $25,000	53	Beginning with Tax Year 1942, gains on the sale of assets held for more than 6 months (long-term capital gains) could be treated separately from other taxable income and taxed at a maximum rate of 25 percent.
	Taxable income over $50,000	38
1942-1945	Taxable income $50,000 or less:		These rates are the sum of the “normal tax” rates and the “surtax” rates, which actually applied to slightly different definitions of taxable income.
	First $5,000	25
	Next $15,000	27	Beginning with Tax Year 1942, gains on the sale of assets held for more than 6 months (long-term capital gains) could be treated separately from other taxable income and taxed at a maximum rate of 25 percent.
	Next $5,000	29
	Next $25,000	53
	Taxable income over $50,000	40
1941	Taxable income $38,461.54 or less:		These rates are the sum of the “normal tax” rates and the “surtax” rates, which actually applied to slightly different definitions of taxable income.
	First $5,000	21
	Next $15,000	23
	Next $5,000	25
	Next $13,461.54	44
	Taxable income over $38,461.54	31
1940	Taxable income $31,964.30 or less:		From June 1940 to the end of 1945, a tax on profits in excess of average prewar earnings was also imposed. It was taken into account, as either a deduction or a credit, for the income tax and the other excess profits tax.
	First $5,000	14.85	The rates for 1940 include extra “defense tax” rates that are integrated with the regular rates in later years.
	Next $15,000	16.5
	Next $5,000	18.7
	Next $6,964.30	38.3
	Taxable income over $31,964.30, not over $38,565.84:
	First $5,000	15.4
	Next $15,000	16.9
	Next $5,000	18.9
	Next $13,565.84	36.9
	Taxable income over $38,565.84	24
1938-1939	Taxable income $25,000 or less:
	First $5,000	12.5
	Next $15,000	14
	Next $5,000	16
	Taxable income over $25,000	19
1936-1937	First $2,000	8	An additional surtax ranging from 7 percent to 27 percent was imposed on undistributed profits.
	Over $2,000, not over $15,000	11
	Over $15,000, not over $40,000	13
	Over $40,000	15
1932-1935	All taxable income	13.75	An additional “declared value” excess profits tax, based on profits in excess of a percentage of the value of corporate stock, was in effect from 1933 through 1945. It was a deduction for income tax purposes.
1930-1931	First $3,000	0
	Over $3,000	12
1929	First $3,000	0
	Over $3,000	11
1928	First $3,000	0
	Over $3,000	12
1926-1927	First $2,000	0
	Over $2,000	13.5
1925	First $2,000	0
	Over $2,000	13
1922-1924	First $2,000	0
	Over $2,000	12.5
1919-1921	First $2,000	0
	Over $2,000	10
1918	First $2,000	0
	Over $2,000	12
1917	All taxable income	6	An additional tax on “excess profits” and/or “war profits” was in effect from 1917 to 1922. It was allowed as a deduction for computing income tax.
1916	All taxable income	2
1913 (March 1)-1915	All taxable income	1
1909-1913 (February 28)	First $5,000	0
	Over $5,000	1
Source: SOI Tax Stats – Historical Table 24 (1909-2010) https://www.irs.gov/statistics/soi-tax-stats-historical-table-24 2011-2020: Internal Revenue Service, Instructions for Form 1120.

U.S. Corporation Income Collections, 1934 to 2020

Year	Collections [nominal] (millions)	Collections as a % of GDP (Percentge)
2020	211,845	1.0
2019	230,245	1.1
2018	204,733	1.0
2017	297,048	1.5
2016	299,571	1.6
2015	343,797	1.9
2014	320,731	1.9
2013	273,506	1.6
2012	242,289	1.5
2011	181,085	1.2
2010	191,437	1.3
2009	138,229	1.0
2008	304,346	2.1
2007	370,243	2.6
2006	353,915	2.6
2005	278,282	2.2
2004	189,371	1.6
2003	131,778	1.2
2002	148,044	1.4
2001	151,075	1.4
2000	207,289	2.0
1999	184,680	1.9
1998	188,677	2.1
1997	182,293	2.2
1996	171,824	2.2
1995	157,004	2.1
1994	140,385	2.0
1993	117,520	1.7
1992	100,270	1.6
1991	98,086	1.6
1990	93,507	1.6
1989	103,291	1.9
1988	94,508	1.8
1987	83,926	1.8
1986	63,143	1.4
1985	61,331	1.4
1984	56,893	1.4
1983	37,022	1.0
1982	49,207	1.5
1981	61,137	2.0
1980	64,600	2.3
1979	65,677	2.6
1978	59,952	2.6
1977	54,892	2.7
1976	41,409	2.3
1975	40,621	2.5
1974	38,620	2.6
1973	36,153	2.7
1972	32,166	2.6
1971	26,785	2.4
1970	32,829	3.1
1969	36,678	3.7
1968	28,665	3.2
1967	33,971	4.1
1966	30,073	3.9
1965	25,461	3.6
1964	23,493	3.6
1963	21,579	3.5
1962	20,523	3.5
1961	20,954	3.8
1960	21,494	4.0
1959	17,309	3.4
1958	20,074	4.2
1957	21,167	4.6
1956	20,880	4.8
1955	17,861	4.4
1954	21,101	5.5
1953	21,238	5.6
1952	21,226	5.9
1951	14,101	4.3
1950	10,449	3.7
1949	11,192	4.0
1948	9,678	3.7
1947	8,615	3.6
1946	11,883	5.2
1945	15,988	7.1
1944	14,838	6.9
1943	9,557	5.2
1942	4,719	3.2
1941	2,124	1.8
1940	1,197	1.2
1939	1,127	1.2
1938	1,287	1.4
1937	1038	1.2
1936	719	0.9
1935	529	0.8
1934	364	0.6
Source: White House: Office of Management and Budget: Historical Tables 2.1, 2.3 https://www.whitehouse.gov/omb/historical-tables/

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