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History of the IRS Top Tax Brackets

In 1913 the Federal tax code imposed tax rates ranging from 1% – 7% with the top rate of 7% against people earning $500,000 and above. (In today’s dollars that’s over $11 million per year.)

By 1980 the top rate was 70% kicked in at $108,300 for individuals and $215,000 for married couples filing jointly. (In today’s dollars that would be just over $294,000 for the individuals and $586,000 for the couples.)

Today’s top rate is 35%.

Between 1944 and 1963 the top rate actually exceeded 90%.