What Is a Cumulative Return?

Cumulative income tax is a tax levied by the US federal government on companies whose cumulative profits exceed a certain amount. Taxpayers based on undistributed profits accumulating more than 150,000 US dollars, based on the accumulated profits of more than 150,000 US dollars as the tax basis, implementing a two-tier excess progressive tax rate. For the accumulated profits of more than 150,000 US dollars to 250,000 US dollars, The tax rate is 27.5%; for the accumulated profit of more than 250,000 US dollars, the tax rate is 38.5%. ^[1]