Who Paid Federal Income Taxes in 2023?

Federal Income Taxes Paid by Income Level in 2023

In tax year 2023 (returns filed in 2024), IRS data shows the U.S. federal income tax system remained progressive, with higher-income taxpayers paying a much larger share of the total.

Key 2023 figures

• Total federal individual income tax paid: $2.14 trillion.
• Average federal individual income tax rate: 14.1% (down from 14.5% in 2022).
• Top 1% of earners (AGI above $675,602):
  • Paid 38.4% of all federal individual income taxes.
  • Average tax rate: 26.3% (about 7× the 3.7% rate of the bottom half).
• Top 5% of earners (AGI above $272,209):
  • Paid ~60% of total federal individual income taxes.
• Top 10% of earners (AGI above $187,608):
  • Paid ~71% of total federal individual income taxes.
• Top 50% of earners:
  • Paid ~97% of all federal individual income taxes.
• Bottom 50% of earners:
  • Paid ~3% of all federal individual income taxes, with many owing no tax due to credits and deductions.