Table 2.--Individual Income and Tax Data, by State and Size of Adjusted Gross Income, Tax Year 2004
[Money amounts are in thousands of dollars]
Size of adjusted gross income Item All returns Under $50,000 [1] $50,000 under $75,000 (1) MINNESOTA Number of returns................................................................................................................. 2,407,792 Number of joint returns.......................................................................................................... 1,017,167 1,560,278 337,357 375,156 261,091 232,591 962,079 23,118,263 342,963 18,764,437 223,138 255,104 123,849 191,779 71,538 637,502 14,419 95,027 240,053 33,450 360,445 76,343 1,585,669 33,594 145,303 53,580 642,066 4,339 27,692 245,215 3,873,529 220,109 191,878 131,581 644,997 18,955,854 205,095 15,630,603 153,077 187,689 95,310 168,121 41,904 480,908 6,875 74,320 277,038 19,408 284,486 44,375 1,099,845 15,172 66,471 26,575 394,152 4,089 33,275 186,589 3,441,126 195,189 176,105 117,304 595,360 25,551,951 182,030 20,182,977 155,621 299,230 115,802 354,870 40,065 864,767 4,967 98,690 869,432 16,755 379,042 37,830 1,123,177 7,881 35,705 21,213 344,113 7,255 93,465 186,420 4,678,244 57,060 50,736 44,595 175,932 28,914,070 51,038 14,628,979 52,756 795,509 46,362 1,263,783 14,143 817,130 1,799 45,277 4,863,890 4,527 183,933 10,212 343,042 744 3,663 7,165 130,235 5,298 125,223 55,553 4,010,743 (2) (3) $75,000 under $100,000 (4) $100,000 under $200,000 (5) (6) $200,000 or more
Number with paid preparer's signature.......................................................................................................... 864,216 1,390,287 Number of exemptions................................................................................................................. 4,764,994 2,386,626
Adjusted gross income (AGI) [3]................................................................................................................. 128,344,592 31,804,454 Salaries and wages in AGI: [4] Number.......................................................................................................... 2,085,198 1,304,072 Amount.......................................................................................................... 95,761,368 26,554,373 561,610 646,085 294,224 397,624 206,967 1,147,401 46,407
Taxable interest: Number.......................................................................................................... 1,146,202 Amount.......................................................................................................... 2,183,618
Ordinary dividends: Number .......................................................................................................... 675,547 Amount.......................................................................................................... Business or profession net income (less loss): Number.............................. Amount.......................................................................................................... 2,376,178 374,617 3,947,708
Number of farm returns.......................................................................................................... 74,467
Net capital gain (less loss) in AGI: Number.......................................................................................................... 552,953 239,639 Amount.......................................................................................................... Taxable individual retirement arrangements distributions: Number............... Amount.......................................................................................................... 6,595,943 184,716 1,882,057 345,530 110,576 674,151
Pensions and annuities in AGI: Number.......................................................................................................... 404,049 235,289 Amount.......................................................................................................... 6,783,886 2,632,155
Unemployment compensation: [13] Number.......................................................................................................... 158,825 101,434 Amount.......................................................................................................... 631,040 379,897
Social Security benefits in AGI: Number.......................................................................................................... 216,477 107,944 Amount.......................................................................................................... 1,980,024 469,458
Self-employment retirement plans: Number.......................................................................................................... 25,746 4,765 Amount.......................................................................................................... 302,350 22,697
Total itemized deductions: [5] Number................................................................................................................. 1,002,973 329,196 Amount.......................................................................................................... 20,478,780 4,475,138
State and local income taxes: Number.......................................................................................................... 899,794 245,121 Amount.......................................................................................................... 5,187,373 437,918
233,315 683,301 11,700 28,422 231,705 419,171 245,672 1,175,291 220,798 1,767,859 221,777 453,562 373,940 15,127,019 170,740 303,880 136,429 234,649 37,889 16,989 0 0 0 0 798 1,307 359,333 1,858,013 364,465 2,008,138 95,755 180,758 268,806 631,223
182,643 773,079 3,870 11,535 180,252 394,161 186,772 1,220,706 171,583 1,482,922 176,661 447,144 219,859 13,201,559 117,771 218,426 92,997 166,713 28,642 12,649 0 0 0 0 1,395 2,155 218,342 1,764,515 218,941 1,872,882 58,556 148,740 154,756 440,621
183,848 1,335,500 2,450 9,781 181,600 549,670 186,490 1,945,400 168,989 1,770,652 180,846 688,477 195,009 18,959,022 87,573 111,690 60,671 87,879 25,460 10,362 0 0 0 0 16,282 28,515 194,790 3,374,634 194,936 3,529,749 77,868 349,994 107,963 407,405
54,867 1,957,575 759 3,133 54,182 337,380 55,694 2,324,160 47,770 912,244 54,404 1,138,985 56,995 24,876,347 23,331 48,558 29 27 5,030 2,101 0 0 0 0 38,574 186,749 57,015 6,640,857 57,035 6,758,834 31,891 999,793 17,060 209,786
State and local general sales tax: Number.......................................................................................................... 93,799 75,020 Amount.......................................................................................................... 121,808 68,937 287,303 448,542 328,393 1,000,372 258,605 1,883,769 262,415 433,560 1,125,603 16,353,287 349,956 284,822 182,017 172,046 46,150 20,766 263,568 411,785 223,086 357,377 425 1,025 970,927 1,786,235 1,072,046 2,080,483
Real estate taxes: Number.......................................................................................................... 935,042 Amount.......................................................................................................... 2,148,925
Taxes paid: Number.......................................................................................................... 1,003,021 Amount.......................................................................................................... 7,665,929
Interest paid: Number.......................................................................................................... 867,745 Amount.......................................................................................................... 7,817,447
Contributions: Number.......................................................................................................... 896,103 Amount.......................................................................................................... 3,161,729
Taxable income: Number................................................................................................................. 1,971,406 Amount.......................................................................................................... 88,517,233
Total tax credits: [6] Number................................................................................................................. 749,371 Amount.......................................................................................................... 967,376
Child tax credit: Number.......................................................................................................... 472,143 Amount.......................................................................................................... 661,315
Child care credit: Number.......................................................................................................... 143,171 Amount.......................................................................................................... 62,868
Earned income credit: [7] Number................................................................................................................. 263,568 Amount.......................................................................................................... Excess earned income credit (refundable): [8] Number................................ Amount.......................................................................................................... 411,785 223,086 357,377
Alternative minimum tax: Number................................................................................................................. 57,474 Amount.......................................................................................................... 219,750
Income tax: [9] Number................................................................................................................. 1,800,407 Amount.......................................................................................................... 15,424,254
Total tax liability: [10] Number................................................................................................................. 1,907,423 Amount.......................................................................................................... 16,250,086
Tax due at time of filing: [11] Number................................................................................................................. 514,556 250,486 Amount.......................................................................................................... 1,918,045 238,760 1,217,842 1,653,177
Overpayments: [12] Number................................................................................................................. 1,766,427 Amount.......................................................................................................... 3,342,211
** - Not shown to avoid disclosure of information about specific taxpayers. However, the data are combined with data in an adjacent size class, as appropriate, and included in the appropriate totals. [1] Includes returns with adjusted gross deficit. [2] U.S. totals in Table 2 do not agree with Tables 1 and 3 because Table 2 also includes (a) "substitutes for returns," whereby the Internal Revenue Service constructs returns for certain nonfilers
on the basis of available information and imposes an income tax on the resulting estimate of the tax base, i.e., "taxable income," and (b) returns of nonresident or departing aliens. In addition, for Table 2: "Income tax" includes the "alternative minimum tax," but differs from "total income tax" in Tables 1 and 3 in that it is after subtraction of all tax credits except a portion of the "earned income credit." See, also, footnote 7, below, for an explanation of the treatment of the earned income credit, and Table 1, footnotes 31, 34, and 37. [3] Less deficit. [4] "Number," here, and elsewhere in Table 2, represents number of returns, unless otherwise specified. [5] "Itemized deductions" include any amounts reported by the taxpayer, even if they could not be used in computing "taxable income," the base on which the regular income tax was computed. Thus, total itemized deductions include amounts that did not have to be reported by taxpayers with no "adjusted gross income." (Adjusted gross income is the total from which these deductions would normally be subtracted.) In addition, if standard and itemized deductions were both reported on a tax return, the form of deduction actually used in computing income tax was the one used for the statistics. Therefore, if the standard deduction was the form of deduction used, the total reported for itemized deductions was excluded from the statistics. However, the component deductions were not similarly excluded. As a result, the number of returns and related amounts for the component deductions are slightly overstated in relation to the grand total shown for itemized deductions. These components are also overstated in relation to the total because there was a statutory limitation on the total of itemized deductions that could be claimed by certain high-income taxpayers. This limitation did not affect the component deductions, the sum of which therefore exceeded the total used in computing income tax. See also, Table 1, footnote 22. [6] Unlike Table 1, "total tax credits" exclude the "earned income credit", shown separately below, in Table 2. [7] "Earned income credit " includes both the refundable and non-refundable portions. The non-refundable portion could reduce income tax and certain related taxes to zero; credit amounts in excess of tax, or amounts when there was no tax liability at all, were refundable. See footnote 10, below. [8] The refundable portion of the "earned income credit" equals the amount in excess of "total tax liability," which is shown below in Table 2 and defined in footnote 10. The excess credit shown includes any "advance earned income credit payments" for those returns that had such an excess. See also footnote 7, above. [9] See footnote 2, above. [10] "Total tax liability" differs from "income tax," shown above in Table 2, in that it includes the taxes from recapture of certain prior-year credits, tax applicable to Individual Retirement Arrangements (IRA's), Social Security taxes on self-employment income and on certain tip income, and certain other income-related taxes. See also footnote 7, above, for an explanation of the treatment of the earned income credit. [11] Reflects payments of the taxes listed in footnote 10, above. [12] See Table 1, footnote 40. [13] Includes the Alaskan permanent fund, reported by residents of Alaska on Forms 1040A and 1040EZ's. This fund only applies to statistics in the U.S. totals, and the state of Alaska. [14] Includes, for example, returns filed from Army Post Office and Fleet Post Office addresses by members of the armed forces stationed overseas; returns filed by other U.S. citizens abroad; and returns filed by residents of Puerto Rico with income from sources outside Puerto Rico or with income earned as U.S. government employees. NOTE: This table presents aggregates of all returns filed and processed through the Individual Master File (IMF) system during Calendar Year 2005, including any returns filed for tax years preceding 2004. In general, during administrative or Master File processing, taxpayer reporting discrepancies are corrected only to the extent necessary to verify the income tax liability reported. Most of the other corrections to the taxpayer records used for these statistics could not be made because of time and resource constraints. The statistics in Table 2 should, therefore, be used with the knowledge that some of the data have not been perfected or edited for statistical purposes and that U.S. totals in this table may not be altogether comparable to U.S. totals in Tables 1 and 3, as a result. Also, see footnote 2, above for differences in tax return coverage, which affects U.S. totals in this table. Classification by State was usually based on the taxpayer's home address. However, some taxpayers may have used the address of a tax lawyer, or accountant, or the address of a place of business; moreover, such addresses could each have been located in a State other than the State in which the taxpayer resided. For explanation of the tax law changes which could affect the year-to-year analysis of data, refer to the respective years' "Individual Income Tax Returns, Preliminary Data" article published in the SOI Winter Bulletin. For further explanation of the tax terms, refer to the "Individual Income Tax Returns," Publication 1304. SOURCE: IRS, Statistics of Income Division, Individual Master File System, January 2006.