Table shows the effect marginal tax rates on wages and salaries under current law and the Senate Tax Cuts and Jobs Act as passed by Committee on Finance by Expanded Cash Income Level in 2025. We calculate effective marginal tax rates by adding $1,000 to wages and salaries and recomputing tax liability. Our computation includes the impact of the alternative minimum tax and the phase-in and phase-out of credits and other tax provisions. We assume that under the proposal, a certain fraction of individuals recharacterize their wage and salary income as business income eligible for the preferential rates. For these individuals, we also assume that the increment to wages and salary is recharacterized as business income. We assume that the increase in wages does not change the reported amount of any deductions, exclusions, or other forms of income. Effective marginal tax rates are weighted by current-law wages and salaries.