marginal rate Meaning in the Cambridge English Dictionary Cambridge dictionaries logo

Meaning of “marginal rate” in the English Dictionary

"marginal rate" in Business English

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marginal ratenoun [C]

uk   us   (also marginal tax rate, marginal rate of tax)
ACCOUNTING, TAX the ​rate of ​taxpaid on the last ​part of a person's or organization's ​income in a particular ​period: The ​law would have ​lowered the topmarginalrate on ​incomeearned in the city. The highermarginaltaxrateapplies to ​individuals with more than $120,000 of ​netincome. For most ​people, their ​marginalrate of ​tax will be ​higher when ​investing and ​lower when ​retired.
(Definition of marginal rate from the Cambridge Business English Dictionary © Cambridge University Press)
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