United States Corporate Income Tax Rate and Median S&P 500 Company Effective Rate According to Goldman Sachs, the effective S&P 500 tax rate could lift to 26%, if Democrats win the presidency and the Senate in November. Image: Goldman Sachs Global Investment Research
S&P 500 vs. Corporate Profits After Tax The current divergence between the S&P 500 and corporate profits after tax is the widest on record. It is possible to close the gap “down” with a recession. Image: Real Investment Advice
U.S. Sources of Federal Tax Revenue since 1940 This chart puts into perspective the U.S. sources of federal tax revenue since 1940. Image: Deutsche Bank Global Research
Inequality – Monthly Income After Tax Minus Average Monthly Expenditures Greatest economy ever? Despite increasing wage growth and a low unemployment rate, half of the U.S. population spends more than their income. Image: Deutsche Bank Global Research
Where Do State Tax Revenues Come From? The most important category of revenue is individual income, followed by general sales. Income taxes paid by corporations rank fourth. Image: howmuch.net
U.S. Corporate Income Tax Rate Thanks to Trump’s tax cuts, the median S&P500 company effective tax rate is 19%. Image: Goldman Sachs Global Investment Research
S&P 500 Tax Adjusted EPS vs. Trend Interesting chart showing that S&P 500 tax adjusted earnings are well above the trend in the United States, and have historically preceded earning plunges. Image: J.P. Morgan Asset Management
S&P 500 and NIPA Corporate Profits After Tax S&P 500 rose relative to NIPA corporate profits after tax, thanks to buybacks. Image: Morgan Stanley
U.S. Total Receipts (Taxes) to GDP This chart shows the percentage share of GDP that is collected by the U.S. federal government through taxes. Image: Bianco Research
“In this World Nothing Can Be Said to Be Certain, Except Death and Taxes.” ― Benjamin Franklin Image: Hedgeye Risk Management LLC