Alex Muresianu

Return to R&D Expensing Crucial for Manufacturing and Technology Investment

The tax treatment of research and development (R&D) expenses is one of the biggest issues facing Congress as the year winds down.

Prospects for Federal Tax and Budget Policy after the 2022 Midterms

Two weeks after the 2022 midterm elections, it’s becoming clearer where tax policy may be headed for the rest of the year and into 2023. In the short term, Congress must deal with tax extenders and expiring business tax provisions that may undermine the economy.

Shaky Economic and Fiscal Outlook Requires Stable and Pro-Growth Tax Extenders Policy

Policymakers face a difficult balancing act this year in what is likely to be an unusual tax extenders season.

How the Inflation Reduction Act Affects the Future of U.S.-EU Tax and Trade Cooperation

the Inflation Reduction Act gives us a glimpse into a future where the U.S. and EU opt for protectionist tax and trade policies rather than implementing principled tax policies and reducing trade barriers between allies.

Carbon Taxes, Trade, and American Competitiveness

A border-adjusted carbon tax that uses some of the revenue for pro-investment tax reform could improve U.S. more competitiveness while also addressing concerns with a carbon tax.

Should We Tax University Endowments?

Taxing university endowments has gained popularity recently, partly in response to the Biden administration’s forgiveness of student loan debt. Some view it as a means of holding universities accountable for the product they’re selling. Others view it as a tool to tamp down tuition rates or punish ideological opponents. But do these arguments hold water and is an endowment tax sound policy?

Understanding the Tax Treatment of Inventory: The Role of LIFO

Repealing LIFO, as some policymakers have proposed, is not sound policy. LIFO helps firms avoid the penalty on inventory investment created by FIFO and is neither a targeted tax break nor a subsidy (as some opponents suggest).

The Sticks: Inflation Reduction Act’s Energy-Related Tax Increases

The Inflation Reduction Act primarily uses carrots, not sticks, to incentivize reductions in carbon emissions. It creates or expands tax credits for various low- or no-emission technologies, rather than imposing a generalized penalty for emissions, such as a carbon tax.

Breaking Down the Inflation Reduction Act’s Green Energy Tax Credits

The Inflation Reduction Act created numerous tax subsidy programs intended to accelerate the transition to a greener economy.

“Taxing Big Oil Profiteers Act” Risks Disincentivizing Production, Inventory

In response to high oil prices, Sen. Wyden has proposed raising taxes on oil and gas companies in three ways. His “Taxing Big Oil Profiteers Act” would create an additional 21 percent tax on so-called excess profits earned over 10 percent of revenues of oil companies with annual revenues over $1 billion; levy a tax on stock buybacks; and remove last-in, first-out (LIFO) tax treatment of inventory accounting.

How to Think About IRS Tax Enforcement Provisions in the Inflation Reduction Act

The Inflation Reduction Act increases the IRS’s budget by roughly $80 billion over 10 years. The money is broken into four main categories—enforcement, operations support, business system modernization, and taxpayer services—as well as a few other small items such as an exploratory study on the potential of a free-file system.

It Would Be a Mistake to Resurrect Corporate Alternative Minimum Tax

The Inflation Reduction Act may be smaller than the proposed Build Back Better legislation from 2021, but both sets of legislation propose a reintroduced corporate alternative minimum tax (AMT). The 30-year experience with a corporate AMT shows it is not a good solution.

Carbon Taxes in the Global Market: Changes on the Way?

As policymakers on both sides of the Atlantic debate the way forward on carbon border adjustment mechanisms, it is important to keep principles of good tax policy in mind.

Carbon Taxes and the Future of Green Tax Reform

Our new analysis reviews the basic structure of carbon taxes, how they compare to the existing set of climate policies, and how they could fit into various pro-growth tax reform packages.

Public and Private R&D Are Complements, Not Substitutes

Comparing the Corporate Tax Systems in the United States and China

Federal policymakers are debating a legislative package focused on boosting U.S. competitiveness vis-a-vis China; however, it currently contains little to no improvements to the U.S. tax code.

Tax Filing Season: Options for Improvement

Efforts to improve the taxpayer experience should focus on the IRS’s operations and include structural improvements to the tax code.

Chaotic IRS Filing Season Shows the Perils of Running Social Policy Through the Tax Code

As the deadline for tax filing nears, the IRS faces scrutiny for its backlog of returns, inaccessible taxpayer service, and delays in issuing certain refunds.

Personal Income Tax Adjusts for Inflation, But It Could Do Better

In times of inflation, a review of the tax code shows that some provisions are automatically indexed, or adjusted, to match inflation, while others are not. And that creates unfair burdens for taxpayers. But it’s not always as simple as just “adjusting for inflation.”

Windfall Profits Tax Wrong for American Energy

As oil prices skyrocket, a windfall profits tax targeted at oil company profits could punish domestic production and increase reliance on imports.