The Tax Policy Blog

November 04, 2015

Yesterday, voters in five states decided tax- and spending-related ballot initiatives. Here are some of the highlights, with links to more details at the excellent website Ballotpedia:

RESULT

INITIATIVE

FOR AGAINST
...
Continue Reading...
November 03, 2015

In an interview with Bloomberg Politics published yesterday, Presidential candidate Donald Trump made some good points about corporate income tax policy.

“What's happening is companies are leaving our country and you're reading about it,” Trump said in a Monday interview with Bloomberg Politics' With All Due Respect...

Continue Reading...
November 02, 2015

Update (11/3/2015): A previous version of this blog stated that the personal credit under Rubio-Lee would be $1,750. The credit is actually $2,000.

During last week’s Republican primary debate, Senator Marco Rubio and moderator John Harwood went back and forth about which taxpayers would benefit the most from Rubio’s tax plan. Both referred to our March analysis of the plan. Harwood...

Continue Reading...
November 02, 2015

Update: Election results here.

Tomorrow, voters in five states will decide tax- and spending-related ballot initiatives. Here are some of the highlights, with links to more details at the excellent website Ballotpedia:

...
Continue Reading...
November 02, 2015

The Earned Income Tax Credit is a policy designed to help working Americans with low incomes. For a more general overview of what it does, I’ll refer you to this piece we put together last year, which explains it in more detail.

The EITC is claimed by individual tax filers, of course, but if you map the claims on a more regional basis, you can see how the EITC is also—aggregated over...

Continue Reading...
November 02, 2015

The Joint Committee on Taxation (JCT) has recently released its budget score of the House-passed bill to allow the permanent expensing of half of equipment spending by businesses. Fifty percent expensing means that half of the cost of a machine or vehicle may be deducted as a business expense in the year it is purchased, while the rest of the cost must be written off over the tax life of the asset.

In...

Continue Reading...
November 02, 2015

Earlier this month, three economists released a new paper:  “Taxation and the International Mobility of Inventors”. The paper has empirically confirmed that top marginal income taxes will chase away superstar inventors: highly-skilled contributors to the economy who have extremely valuable patents.

We keep hearing...

Continue Reading...
November 02, 2015

On November 1st, 2005, the President’s Advisory Panel on Federal Tax Reform issued a 272-page report, detailing options for reforming the U.S. tax code. Ten years later, it is instructive to revisit this recent moment of bipartisan consensus around a path towards tax reform.

The President’s Advisory Panel on Federal Tax Reform was established by President George W. Bush in an...

Continue Reading...
November 01, 2015

The New York Times this weekend published an editorial criticizing the Republican tax plans for not raising enough revenue. This is a perfectly fine argument to make (all Republican plans so far cut taxes) but the supporting evidence offered in its favor was spectacularly flimsy:

All of these [Republican] candidates deny fiscal reality. In the...

Continue Reading...
October 31, 2015

The power of the purse lies with legislatures—except, sometimes, where education funding is concerned. In that realm one finds a long history of judicial intervention, originally on questions of equity—ensuring that school funding formulas did not disadvantage certain communities or discriminate against minorities—and, subsequently, on questions of adequacy. Whereas equity cases flowed out of equal protection and did not concern themselves with the size of the overall appropriation but...

Continue Reading...
October 30, 2015

On Wednesday, I gave testimony to the Louisiana Sales Tax Streamlining & Modernization Commission (video here, I spoke last). The Tax Foundation also has a seat on the commission, and some of the biggest challenges we’ve seen over the last four meetings involve trying to improve uniformity between the state and local collection authorities, as well as uniformity in the...

Continue Reading...
October 29, 2015

Senator Ted Cruz of Texas has proposed a tax plan that involves a rather unusual tax not currently seen in the United States. I’m pre-emptively writing this post to try to help people understand how this tax would work, because in my experience very few American journalists or even economists know how it would work. It’s actually a little simpler than the fancy nomenclature would suggest, and it...

Continue Reading...
October 29, 2015

Last night’s Republican primary debate focused on the U.S. economy and contained several extended discussions of tax policy. At one point in the debate, Senator Marco Rubio and moderator John Harwood went back and forth about which taxpayers would benefit more from Rubio’s tax plan. The exchange...

Continue Reading...
October 28, 2015

The top 1% of American households made a smaller share of national income in 2013 than 2012, according to new statistics from the IRS. Overall, the recently released statistics show a more equal income distribution in 2013 than the year before.

...

Continue Reading...
October 28, 2015

One website estimates that more than 41% of Americans will carve a jack o'lantern this year. While the practice brings joy to many, it created heartburn for Iowa tax officials eight years ago, who were dismayed that so many people were decorating their pumpkins.

You see, Iowa (like most states) taxes retail sales but exempts groceries. Pumpkins used for decoration should have been taxed but were...

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