The Tax Policy Blog

July 07, 2015

Does your state have its fiscal affairs in order? It’s not an easy question to answer, in part because the question can mean so many different things, including:

  • Can the state pay its current bills? (cash solvency)
  • Will annual revenues be sufficient to cover budgeted expenditures? (budget solvency)
  • Are the state’s long-term liabilities—think bonds and loans—sustainable? (long-run solvency)
  • How much room is there to raise additional revenue should...
Continue Reading...
July 06, 2015

There have been several big legislative changes and proposals from D.C’s lawmakers over the past week. On June 30th, Washington D.C’s legislative council voted to allow several tax cuts to take effect in September ahead of schedule and authorized an emergency measure to deter synthetic drug use. Additionally, Mayor Muriel Bowser’s 2016 budget now...

Continue Reading...
July 06, 2015

With the clock ticking, Governor Jay Inslee (D) called the Washington State Legislature into its third and final special session on June 28th to determine the budget for the next biennium. The budget includes many important changes in the state tax code.

Although the Office of Financial Management projected revenue growth in the absence of any tax increase, new education funding mandates and the Governor’s legislative...

Continue Reading...
July 02, 2015

Michigan has been tangled up in a transportation funding back-and-forth for the last year or so. The most recent episode was a May ballot initiative to raise sales and gas taxes that failed 80-20. As of yesterday, news sources report that legislators in the House and Senate have come back with new funding plans. The...

Continue Reading...
July 02, 2015

Compared to taxes on alcoholic beverages such as wine and beer, distilled spirits are taxed at much higher rates across the states, ostensibly to adjust for higher alcohol content. Today’s map shows how spirit excise taxes in your state compare.

...

Continue Reading...
July 02, 2015

Last week, New Hampshire Governor Maggie Hassan (D) vetoed the State Legislature’s budget bills, HB 1 and HB 2. In her veto message, the governor explained her opposition to the budget, criticizing the proposed business tax cuts:

“I have vetoed the budget passed by the...

Continue Reading...
July 01, 2015

Washington has been navigating mostly uncharted waters since the state became one of the first in the country to legalize recreational marijuana. The prospect of legalization has been sweetened by the idea of new tax revenue, and the state has explored different ways of taxing the drug, but Washington lawmakers are no longer satisfied with the voter-approved tax system.

In addition to...

Continue Reading...
July 01, 2015

California might be facing calls for a higher cigarette tax in the near future. This session, the state Senate had been considering SB-591, which would raise the tax to $2 per pack. Despite clearing committee, the bill never made it to the floor and was relegated to the Senate’s inactive file earlier this month. However, a...

Continue Reading...
June 30, 2015

Yesterday, the governor of Puerto Rico announced that his government’s $72 billion of debts are not payable, in advance of $1.92 billion in debt service payments due on Wednesday. This announcement follows...

Continue Reading...
June 30, 2015

JULY 1 UPDATE: As expected, Governor Wolf vetoed the bill. There remains a limited amount of time to avert a partial government shutdown, however. 

With a veto threat looming over their heads, Pennsylvania legislators adopted a $30.2 billion budget that eschews tax increases. A $1.2 billion increase in spending over last year’s budget...

Continue Reading...
June 30, 2015

In a rare move that caps an intense legislative session, the Maine Legislature has overridden Governor Paul LePage’s budget veto, thereby completing the budget process with mere hours to go before the start of the new fiscal year.

LePage’s introduced budget proposed sweeping tax reform, and the Governor repeatedly expressed frustration with the chilly reception by which the legislature greeted some aspects of his plan, coupled with legislative rejection of his subsequent proposal to...

Continue Reading...
June 30, 2015

Indiana’s 2015 General Assembly session ended just about two months ago. While this year’s tax code reforms were less extensive than past sessions, the legislature made welcome fixes to two policies in particular: the throwback rule and ...

Continue Reading...
June 29, 2015

Last Friday, the Supreme Court issued a ruling in a 5-4 decision of the Obergefell v. Hodges case making same-sex marriage legal in all 50 states and territories of the United States. The ruling has allowed same-sex couples to have the same tax filing options as opposite-sex couples.  

Like with opposite-sex couples, a same-sex couple could end up with a...

Continue Reading...
June 29, 2015

Switzerland is the latest European country to rule that bitcoin is exempt from value-added tax (VAT), following recent rulings by Spain, Finland, Belgium and other European nations.  The Swiss Federal Tax Administration (FTA) has never taxed bitcoin, but it stated its official position after clarification was requested from a pro-bitcoin group last year. Legal currencies are exempt from the Swiss VAT, and financial advisory firms are taking the FTA’s ruling to signify that Switzerland...

Continue Reading...

Pages

Follow Us

About the Tax Policy Blog

Subscribe to Tax Foundation - Tax Foundation's Tax Policy Blog The Tax Policy Blog is the official blog of the Tax Foundation, a non-partisan, non-profit research organization that has monitored tax policy at the federal, state and local levels since 1937. Our economists welcome your feedback. If you would like to send an e-mail to the author of a blog post, please click on that person's name to locate his or her e-mail address or visit our staff page here.

Monthly Archive