One of the loudest critics of the recent wave of corporate inversions is University of Southern California law professor Ed Kleinbard, who warns that these transactions will erode the U.S. corporate tax base because...
- Monday Map: Adjustment of State Income Tax Brackets for I...
Monday Map: Adjustment of State Income Tax Brackets for Inflation
Today's Monday Map touches on a lesser known, but still important, aspect of state tax policy - it shows which states index their income tax brackets for inflation.
Indexation of tax brackets is important for stable tax policy - otherwise, as nominal incomes rise, more and more taxpayers end up in higher tax brackets and pay higher rates, even if the real value of their income remains flat. The federal income tax code has had most of its parameters indexed for inflation since 1986, yet many states lag behind.
Click on the map to enlarge it.
View previous Monday Maps here.
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