Top Federal Income Tax Rate Was Once Over 90 Percent
Over at the StangNet.com forums, a commenter looking at Tax Foundation data expresses surprise that marginal income tax rates once reached 91 percent. Indeed they did!
The rate had reached 94 percent during World War II, on income over $200,000 (approx. $2.49 million in today's dollars). It dropped down to 91 percent in 1946 and remained there until the Kennedy tax cuts in 1962-64. Brackets weren't inflation adjusted back then, so it still applied on income over $200,000, which by then had reached $1.41 million in today's dollars. Click here for a newsreel of President Kennedy urging passage of the tax cut.
Check out U.S. income tax rates from 1913 to today here.
Was this page helpful to you?
Thank you!
The Tax Foundation works hard to provide insightful tax policy analysis. Our work depends on support from members of the public like you. Would you consider contributing to our work?
Contribute to the Tax FoundationLet us know how we can better serve you!
We work hard to make our analysis as useful as possible. Would you consider telling us more about how we can do better?
Give Us Feedback