Statistics of Income Bulletin Released: A Comprehensive Exploration of the Data
The Statistics of Income (SOI) Bulletin is a regular publication by the Internal Revenue Service (IRS) that offers a critical glimpse into the finances of U.S. citizens. The bulletin explores tax returns from individuals, businesses, estates, and trusts. The report presents a wealth of data on various aspects of income, including earnings, investments, charitable giving, and much more.
The SOI provides insights that can be used by researchers, policymakers, economists, and anyone with a keen interest in the dynamics of income and wealth in the United States. The bulletin is a treasure trove of data sets that offer a cohesive picture of the financial activities of Americans. This article takes a deeper look at the latest SOI bulletin to uncover some of the most noteworthy findings.
Individual Income Tax Returns
The SOI bulletin offers a detailed analysis of individual income tax returns filed in 2018 and covers an array of income types, including wages and salaries, capital gains, and dividends. The report shows that the total amount of adjusted gross income (AGI) reported in the year reached $11.5 trillion. This was an increase of 5.5% from the previous year.
Wages and Salaries
According to the SOI bulletin, the total amount of wages and salaries was $8.2 trillion, representing approximately 71% of the total AGI. This is consistent with the broad trend in the U.S., with wages and salaries accounting for the lion’s share of the total income reported by taxpayers.
Capital Gains and Dividends
The SOI bulletin also reveals that the income generated from capital gains and dividends contributed to a significant portion of the AGI, with a total of $1.8 trillion and $337.7 billion, respectively. This is indicative of the increasing importance of investments in contemporary U.S. society.
Itemized Deductions
Itemized deductions play a critical role in reducing taxable income for many U.S. taxpayers. These include mortgage interest, charitable contributions, and state and local taxes. According to the SOI bulletin, the total amount of itemized deductions claimed in 2018 was $1.4 trillion. With recent changes in the tax code, this number may shift in future reports.
Business Income
The SOI bulletin delves into the finances of domestic and foreign corporations, partnerships, and sole proprietorships. The report shows that, in 2016, domestic corporations reported about $5.9 trillion in gross receipts and were responsible for $1.3 trillion in net income.
Pass-through Entities
Pass-through entities continue to be a critical aspect of the business landscape, with partnerships and sole proprietorships responsible for a significant portion of the total AGI earned by businesses. According to the SOI bulletin, pass-through entities reported a total of $1.6 trillion in net income for 2016.
Estate and Gift Tax Returns
The IRS requires estates and trusts to file tax returns when certain conditions are met. The SOI bulletin provides data on estate tax returns for federal estate tax returns and gift tax returns.
Estate Tax Returns
According to the SOI bulletin, there were only 1,740 federal estate tax returns filed in 2018, with a total gross estate of $159.3 billion. The report shows that the average taxable estate was $11.5 million. This is a significant decrease from two decades earlier, when about ten times as many estate tax returns were filed.
Gift Tax Returns
The SOI bulletin reports that more than 240,000 gift tax returns were filed in 2018, representing a total of $73.8 billion in gifts. The report further indicates that the average gift was $304,721.
International Data
The SOI bulletin also provides data on U.S. income earned by foreign tax payers, as well as U.S. income earned by citizens living abroad. In 2018, foreign taxpayers earned approximately $47.2 billion in the U.S., while U.S. taxpayers living abroad reported approximately $85.6 billion in total AGI.
Charitable Contributions
Charitable giving is a critical aspect of U.S. society, with many tax payers choosing to give back to their communities. The SOI bulletin indicates that charitable contributions made by individuals in the U.S. totaled $292.1 billion in 2018.
The Bottom Line
The SOI bulletin is a critical resource for anyone interested in the dynamics of income and wealth in the United States. The report provides a wealth of data on everything from individual income tax returns to estate tax returns. The statistics presented in the bulletin offer insights into many aspects of U.S. society and help policymakers and researchers develop a comprehensive view of the financial landscape.
The Internal Revenue Service (IRS) released the 2012 issue of the Statistics of Income Bulletin last Wednesday. The issue includes data on individual income tax returns during the 2010 tax year.
During the 2010 tax year, almost 143 million individual income tax returns were filed with the IRS. The number of individual tax returns increased 1.7 percent from those filed in 2009 (about 140.5 million). The 2010 individual income tax returns reported an adjusted gross income (AGI) of $8.1 trillion—up 6.1 percent from the 2009 tax year.
The following statistics were released by the Statistics of Income (SOI) Division’s recent Statistics of Income Bulletin as well:
• the number of partnerships in 2010 increased 2.5 percent from 2009
• partners increased 6.1 percent since 2009, and the number has increased 9 times out of the last 10 years
• about half of partnerships and over a third of partners were declared in real estate and leasing sectors
• nonprofit charitable organizations (not including private foundations) that were exempt under section 501(c)(3) of the Internal Revenue Code reported $1.5 trillion in revenue and $2.7 trillion in assets
• in 2008, transactions without a loan between large domestic corporations owned by a foreign entity and other foreign parties equaled about $1.187 trillion
• the non-loan transactions between the foreign-owned corporation and other foreign parties decreased 36 percent since 2006 (which equaled $1.86 trillion)
If you’d like to view the entire Statistics of Income Bulletin, you can download the documents off of the IRS’s official government website. If you’d like to receive a paper copy, you can write the following address and provide a subscription rate of $67 ($93.80 foreign rate):
Superintendent of Documents
U.S. Government Printing Office
P.O. Box 371954
Pittsburgh, PA 15250-7954
Source: Internal Revenue Service
