Newly released data from the IRS reveals an increase in adjusted gross incomes, the number of taxpayers paying alternative minimum tax (AMT) and more. The data, posted in the Spring 2014 Statistics of Income Bulletin, comes from 2011, the most recent year for which statistics are available, the IRS reported.
Approximately 145 million individual income tax returns were filed in 2011. Overall, adjusted gross income for all taxable returns was $7.7 trillion, reflecting an increase of approximately six percent from 2010. The IRS reported that the top one percent of returns had an adjusted gross incomes of $388,900 or more and accounted for 18.7 percent of total adjusted gross income for 2011. Total income tax paid for 2011 exceeded $1 trillion.
Taxpayers claimed $73.6 billion in tax credits in 2011. This represented a decrease of 35.2 percent from the $113.6 billion of credits claimed in 2010, due to the expiration of the Making Work Pay Credit, the IRS explained. The IRS also reported an increase in noncash contributions to charitable organizations. More than 22 million taxpayers reported a total of $43.6 billion in deductions for noncash charitable contributions.
For 2011, the IRS reported that AMT liability increased 11 percent to $30.5 billion from $27.5 billion in 2010. The number of returns paying AMT increased by 0.2 million. Alternative minimum taxable income (AMTI) for all returns filing Form 6251 increased 12.6 percent to $2.3 trillion from 2010. Since 2001, the number of returns paying AMT more than tripled from 1.1 million to 4.2 million for 2011, the IRS reported.
As required by the Tax Reform Act of 1976, the IRS reported statistics relating to that the number of 2011 returns with expanded-income over $200,000. Expanded income is AGI plus many deductions, credits, and exclusions that would not otherwise be factored into AGI, such as tax-exempt interest, nontaxable Social Security benefits, foreign-earned income exclusion, and certain miscellaneous itemized deductions. The number of expanded-income returns increased by 9.4 percent to 4.8 million for 2011.