Then, in 1932 during the great depression the highest rate shot up to 63%, which was for people making over a million dollars.  Obviously, there were not a lot of people making over a million dollars a year during the great depression.  Still, it was 50% for those making over $88,000.  And the lowest tax bracket went up to 4%.  Of course, those who had lost their jobs were not paying anything.

Again tax brackets remained the same until 1936 when the highest rate went up again to 79% for people making over $5,000,000.    Still, it was 70% for people making over $300,000 and 59% for those making over $90,000.  The lowest bracket remained at 4%.

In 1940 tax rates remained the same, but the thresholds were lowered for those having to file returns.   Those who were single had to file if their income was over $800.  Those who were married had to file if their income was over $2000.

Once again, tax brackets remained the same until 1941 when the top bracket went up to 81% (for those making over $5 million) and the bottom bracket went up significantly to 10%.   Furthermore, any couple making over $1,500 had to file a return.

Then in 1942 the top bracket went up to 88%, which applied to anyone making over $300,000.  The lowest tax bracket was raised to 19%.  Obviously, this is during the time of WW2 when the United States needed a lot of money to support the war effort.   A couple of things to note about this.  One is that the highest tax bracket started a lot lower.  Granted, few households were making over $300,000 in 1942.   Second, the lowest tax bracket was a lot higher at close to 20%.  Thus, there was more of a shared responsibility during war time by all of those making over the exemption amount which was again reduced $1,200 for married couples.

The top tax rate jumped again in 1944, this time to 94% and applied to anyone making over $200,000.  The lowest rate also went up to 23%.

To continue: See Baby Boom years through Ronald Reagan