How much did the average American contribute in income taxes from 1913 to 1940?

The correct choice reflects historical data regarding income tax contributions by average Americans during the period from 1913 to 1940. After the income tax was instituted in 1913, the rates and thresholds for taxation were relatively low compared to later years. By the end of the 1930s, the average contribution from individual taxpayers was approximately $7 annually.

This figure illustrates not only the nascent state of the federal income tax system in its early years but also the economic context of the time, which included the Great Depression era. The reliance on income tax as a significant revenue source for the federal government was still developing. In contrast, the other figures reflect much higher contributions that were not characteristic of that specific time period. Understanding these historical developments in the federal tax system provides insight into how taxation has evolved in the United States.