what is the average income tax rate
Your average tax rate is the percentage of your income that went to the government; itâs the total tax you paid divided by your total income. As an example, if you made $10,000 and paid $1,000 in taxes, your average tax rate would be 10%.
39.60%. The Federal Income Tax is a marginal income tax collected by the Internal Revenue Service (IRS) on most types of personal and business income. The federal income tax consists of six marginal tax brackets, ranging from a minimum of 10% to a maximum of 39.6%.