Jared Walczak

California Considers Doubling its Taxes

Practically doubling state taxes—even if the burden is partially offset through state-provided health coverage—could send taxpayers racing for the exits.

Eight State Tax Reforms for Mobility and Modernization

States are unprepared for the ongoing shift to remote and flexible work arrangements, or for the industries and activities of today, to say nothing of tomorrow. In some states, moreover, existing tax provisions exacerbate the impact of high inflation and contribute to the supply chain crisis.

Americans Moved to Low-Tax States in 2021

The pandemic has accelerated changes in the way we live and work, making it far easier for people to move—and they have. As states work to maintain their competitive advantage, they should pay attention to where people are moving, and try to understand why.

Why Washington State Can’t Claim Its Capital Gains Tax Is an Excise Tax

2022 State Business Tax Climate Index

While there are many ways to show how much is collected in taxes by state governments, our State Business Tax Climate Index is designed to show how well states structure their tax systems and provides a road map for improvement.

Traveling for the Holidays? States Would Like the Gift of Taxes

In most states, you don’t have to visit for long before you start accruing tax liability.

Aligning Kentucky’s Tax Code for Growth

The Surprising Challenge of Too Much Tax Revenue—and Florida’s No-Gas-Tax Solution

Temporary tax relief measures, like refund checks or gas tax holidays, are not necessarily bad, and can be justified as ways to return excess revenues to taxpayers, but they often miss an opportunity to do better by taxpayers in the long run.

Mississippians Would Benefit from Sustainable Income Tax Reduction

Mississippi lawmakers should deliver tax relief in 2022, but they need not take an all-or-nothing approach. There are many ways to improve the state’s tax code, even if full income tax repeal doesn’t remain on the table.

Pro-Growth Tax Reform for Oklahoma

Our new study identifies a number of deficiencies in Oklahoma’s tax code and outlines possible solutions for reform that would create a more neutral tax code and encourage long-term growth in the state.

Tracking 2021 Election Results: State Tax Ballot Measures

Through 10 ballot measures across four states—Colorado, Louisiana, Texas, and Washington—voters will decide significant questions of state tax policy.

Federal Deductibility Is Distorting Tax Liability in Six States

The intentions behind federal deductibility are undoubtedly pro-taxpayer. Unfortunately, that is not what happens in practice. Tax liability is not reduced. It is distorted.

Washington Voters to Weigh in on New Capital Gains Income Tax

On May 4th, Gov. Jay Inslee (D) signed legislation creating a 7 percent capital gains tax, to take effect next year. On November 2nd, Washington lawmakers will learn what voters think about it.

As Inflation Rises, So Will Tax Bills in Many States

Inflation is often called a hidden tax, but in many states it yields a far more literal tax increase as tax brackets fail to adjust for changes in consumer purchasing power.

Federal Judge Rules Against ARPA’s Tax Mandate

Kentucky and Tennessee won an important legal victory Friday when a federal court ruled that the American Rescue Plan Act (ARPA)’s restrictions on state fiscal autonomy were unconstitutional and enjoined (blocked) the enforcement of those provisions against both states.

States Have $95 Billion to Restore their Unemployment Trust Funds—Why Aren’t They Using It?

Given the restrictions on the use of federal relief funding, and the significantly higher tax burdens on employment that will result if trust funds are not replenished, applying federal aid to these trust funds should be an urgent priority.

What If We Taxed Churches?

Whether spurred by a belief that government is improperly favoring religious institutions, an antipathy to wealthy celebrity pastors, or a hope that taxing houses of worship could bring down personal tax bills, the taxation of religious bodies is hotly debated online, but barely on the radar of actual elected officials. But is that true? How much, if any, tax revenue is forgone, and what do the policies look like? 

Three Issues with Proposed Regulations for Maryland’s Digital Advertising Tax

Earlier this year, Maryland legislators overrode Governor Larry Hogan’s (R) veto of HB732, approving a digital advertising tax, the first of its kind in the country. But legislators punted several crucial questions to the state comptroller, who last week submitted proposed regulations for the digital advertising tax to the state Joint Committee on Administrative, Executive, and Legislative Review.

Sales Tax Rates in Major Cities, Midyear 2021

Neither Anchorage, Alaska, nor Portland, Oregon, impose any state or local sales taxes. Honolulu, Hawaii, has a low rate of 4.5 percent and several other major cities, including Milwaukee and Madison, Wisconsin, keep overall rates modest.

D.C.’s Income Tax Hike Helps Maryland and Virginia, Not D.C.

Even as lawmakers in eleven states have cut income taxes this year, the D.C. Council has responded to surpluses and growth by voting to include substantial income tax increases in the budget.