As part of his new tax plan, the president has proposed ending the “step-up” in tax basis for inherited assets, and, furthermore, requiring the capital gains tax to be paid at death rather than when an heir later sells...
- Kristina Rasmussen of the Illinois Policy Institute: Impa...
Kristina Rasmussen of the Illinois Policy Institute: Impact of State & Federal Tax Hikes
Kristina Rasmussen, Executive Vice President of the Illinois Policy Institute, recently authored a report looking at the cost of higher state and federal income taxes for Illinois families in 2011. In this week's podcast, Rasmussen discusses how Illinois Gov. Pat Quinn's proposal to increase the state personal income tax by as much as 66 percent, combined with possible federal income tax increases resulting from the expiration of the Bush-era tax cuts, would raise Illinois families' tax bills by as much as $2,800-$7,000 in 2011.
The report, "Say It Ain't So: Massive Federal and State Tax Hikes Around the corner in 2011," was put together using the Tax Foundation's interactive calculator at www.mytaxburden.org.
A related Tax Foundation paper examines the effect of the expiring tax cuts on the average middle-income family in each state and congressional district.
For more information, see the Tax Foundation's Bush-Era Tax Cuts FAQ.
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