The Tax Policy Blog

August 26, 2008

This week the last of the summer interns at the Tax Foundation departs. While here, they were invaluable in assisting with research and data work along with many other miscellaneous tasks. Working closing with our team of economists and policy analysts, each also contributed substantively, to the blog and other written work. Everyone at the Tax Foundation joins me in thanking these individuals for their contributions!

...

Continue Reading...
August 26, 2008

The Arizona Supreme Court is expected to rule today on a 1 percent statewide sales tax increase proposal that proponents are seeking to put on the November ballot.

Proponents need 153,365 petition signatures to put the measure, which would use the increased sales tax revenue for transportation purposes,...

Continue Reading...
August 25, 2008

Don't Mess With Taxes reminds us that the major party conventions (the Democratic one in Denver this week and the Republican one in Minneapolis next week) are in part taxpayer funded, to the tune of $17 million each (but not a major share of the total cost, which is mostly underwritten by sponsors). The funds come from the Presidential Election Campaign Fund checkoff box on the 1040 form,...

Continue Reading...
August 25, 2008

Earlier this month, a California activist began gathering signatures to put a state wealth tax on the ballot. The measure would impose a new 35% income surtax (in addition to federal taxes and the existing 10.3% top state rate), and penalize people who leave the state by seizing 55% of assets exceeding $20 million. The money raised would be used to eliminate the state's budget deficit and for purchasing controlling...

Continue Reading...
August 24, 2008
Continue Reading...
August 23, 2008

Misleading Claim from Furman and Goolsbee

In last week's now famous Wall Street Journal op-ed by Obama advisors Austan Goolsbee and Jason Furman, they make the following claim in support of their candidate:

In contrast, Sen. McCain has put forward the most fiscally reckless presidential platform in modern memory. The likely results of his Bush-plus policies are...

Continue Reading...
August 23, 2008

At the rally today in Springfield to introduce Joe Biden (D-DE) as Barack Obama's new running mate, the two did the usual badmouthing of "Big Oil," implying the Bush administration's ties to the oil industry was a cause of the high prices at the pump. But what Obama rarely talks about is that in 2005, when many of those tax breaks for energy companies were being voted on,...

Continue Reading...
August 23, 2008

A new Tax Foundation Fiscal Fact by Robert Carroll, the Foundation's Vice President for Economic Policy, examines the effects of the 2001 and 2003 tax rate reductions.

From "The 2001 and 2003 Tax Relief: The Benefit of Lower Tax Rates," Tax Foundation Fiscal Fact No. 141:

Recent research on President Bush's tax relief in 2001 and 2003 has found that the lower tax rates induced taxpayers to report more taxable income. In particular, the reduction...

Continue Reading...
August 22, 2008

Blue Ridge Forum, a blog on Maryland and Virginia regional issues, quotes Tax Foundation materials in assessing the area's tax burdens:

What would taxpayer advocates do without the Tax Foundation?

Last week, that non-partisan professional group published a most instructive "County and City Income Taxes Clustered in States with Poor Tax Climates" here.[...]

...
Continue Reading...
August 22, 2008

July 1, 2008 came and went without a state budget for California, despite a requirement to pass it by that date. Since then, legislators have dug in and await a plan acceptable enough to gain the requisite two-thirds majority to pass.

The main sticking point is the deficit of somewhere around $15 billion out of a $106 billion general budget. For the better part of the last decade, California government spending has exceeded revenues, with the main cause being inflated...

Continue Reading...
August 22, 2008

An economic analysis of Barack Obama's tax relief plan for senior citizens finds that it would create an "income tax cliff" that would be excessive and unfair to many over 65.

In Tax Foundation Fiscal Fact No. 140, "Obama's Income Tax Cliff for Senior Citizens," Tax Foundation analyst Mark Robyn examines the presumptive Democratic presidential nominee's pitch to eliminate all income taxation for senior citizens making less than $50,000 per year, and finds that Obama's plan...

Continue Reading...
August 21, 2008

FairTaxBlog summarizes the arguments made in a recent CNN-moderated debate over the FairTax that is expected to be televised soon. For example:

7. Linder kept saying that prices would not rise under the FairTax. I said that his own economists say otherwise, that prices will in fact rise under the FairTax, citing Kotlikoff and BHI. He said “those aren’t my economists.”

8. Boortz/...

Continue Reading...
August 21, 2008

This video is from the Tax Foundation's breakfast event in New Orleans last month. Our own Staff Economist Josh Barro discusses options for state tax reform. After describing the Tax Foundation's State Business Tax Climate Index, Barro outlines three things to avoid for good tax policy: (1) state R&D tax credits, (2) film tax credits, and (3) sales tax holidays. Runs 9 minutes, 19 seconds.

...

Continue Reading...
August 21, 2008

Richard Rahn of the Cato Institute warned of the domestic and global impacts of America's corporate income tax in a Washington Times commentary this morning. Rahn cited the...

Continue Reading...
August 20, 2008

I'll be appearing on Fox Business Network at 2:00 PM to talk about sales tax holidays. These one- or two-day breaks from sales taxes for specific items are increasingly popular; 16 states had or are having one this year. The holiday in D.C. is representative: school supplies, clothing, and shoes under $100 were temporarily exempt from the 5.75% sales tax from August 2 to 10.

Everyone seems to win with these holidays. Consumers save some...

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