Number: RS20087
Title: The Level of Taxes in the United States, 1941-2005
Authors: David L. Brumbaugh, Government and Finance Division 
Abstract: The overall level of federal tax receipts has varied in recent years. After reaching a post-World War II peak of 20.9% in fiscal year (FY) 2000, federal receipts as a percentage of gross domestic product (GDP) fell for three consecutive years, declining in 2004 to its lowest level since 1959 (16.3%) before rising again to 17.5% in 2005 - a level close to its post-war average of 18.3%. The decline in receipts was attributed to a variety of factors: slower economic growth, changes in the makeup of aggregate income, and enacted tax-cut legislation. At the same time, the composition of federal taxes has changed somewhat, generally shifting away from corporate income taxes and excise taxes towards Social Security taxes, but with individual income taxes remaining the largest category over the post-World War II period.
Pages: 6
Date: June 20, 2006