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Scott Eastman

Scott Eastman

Federal Research Manager

Scott Eastman is federal research manager at the Tax Foundation, where he coordinates research production for the Center for Federal Tax Policy. Prior to joining the Tax Foundation, Scott was program manager for the Mercatus Center at George Mason University’s Project for the Study of American Capitalism.

Scott has a master’s degree in economics from George Mason University, and a bachelor’s degree in political science from the University of Nebraska at Lincoln. Scott’s favorite season is fall and he is a fan of Cornhusker football.

Latest Work

Inflation tax basics inflation definition inflation definition what is inflation what causes inflation tax code US taxes inflation time value of money money and stocks, Capital Gains Indexing for Inflation

Evaluating Mark-to-Market Taxation of Capital Gains

The success of any mark-to-market system lies in its ability to accurately value tangible and non-tangible (or non-tradable) assets such as intellectual property and brand-value recognition. Administrative regulations, guidance, and enforcement are the Achilles’ heel of any plan to annually tax accrued gains.

17 min read
tax treatment of capital gains, capital gains deferral, capital gains deferrals, Joe Biden's capital gains tax proposal, Biden capital gains tax proposal, Biden's tax proposal, realizations fall when capital gains tax rates rise

JCT Report Shows Capital Gains are Sensitive to Taxation

JCT’s report on capital gains elasticities reminds us that capital gains realizations, at least under a tax system that allows deferral, are sensitive to tax rates. Moving to mark-to-market taxation of all capital gains would remove this sensitivity by taxing capital gains annually.

4 min read
Relative value of $100 in your state 2019 purchasing power 2019 price parity map, biggest bang for your buck states 2019 biggest bang for your buck states, price parity map, purchasing power, real income, nominal income, time value of money, best value states, price parity, purchasing power

What is the Real Value of $100 in Your State?

Adjusting incomes for price level can substantially change our perceptions of which states are truly rich or poor. Your dollar goes much further in states like Missouri or Ohio than in states like New York or California. What is the relative value of $100 in your state?

4 min read
Business taxes, business tax, consumer, shareholders,, economic progress

Business in America

Who are the workers, consumers, and shareholders who interact with businesses in the U.S.? What forms do these businesses take? How do business taxes impact people’s lives? It is essential we answer these questions in order to design a business tax system that is simple, efficient, and enables economic progress.

5 min read
In some states, pass-through businesses face marginal tax rates over 40 percent, pass-through business federal and state tax rate, pass-through business tax, pass-through businesses, private sector employment

Marginal Tax Rates for Pass-through Businesses Vary by State

Pass-through businesses are now the dominant business form in the U.S., making up more than half of the private sector workforce in every state. Federal taxes on income set a minimum tax rate for pass throughs, but marginal rates for pass throughs vary based on how states tax individual income.

3 min read
State Corporate Income Taxes Increase Tax Burden on Corporate Profits, combined corporate tax rankings, state and federal combined corporate tax rate

State Corporate Income Taxes Increase Tax Burden on Corporate Profits

The Tax Cuts and Jobs Act (TCJA) reduced the U.S. federal corporate income tax rate from 35 percent to 21 percent. However, most U.S. states also tax corporate income. These state-level taxes mean the average statutory corporate income tax rate in the U.S., which combines the average of state corporate income tax rates with the federal corporate income tax rate, is 25.8 percent in 2019.

2 min read
GDP and employment by type, The education, healthcare, social assistance industries employ the most workers, educational services, arts, entertainment, recreation, food service, finance, insurance, real estate, transportation, wholesale trade, agriculture, forestry, fishing, hunting, mining, utilities, Service industries are the largest segment of the U.S. economy, finance, insurance, real estate, professional and business services, manufacturing, educational services, healthcare, wholesale, retail, arts, entertainment, food services, transportation, mining, utilities, agriculture, fishing, hunting

2017 GDP and Employment by Industry

In the U.S. economy, there are tens of millions of businesses, including more than 30 million pass-through businesses and more than a million C corporations. Most output and employment come from firms that provide services to consumers—such as education, health care, and social assistance services—though a large share of output and employment still comes from firms in production industries, particularly manufacturing.

2 min read
more business income is reported on individual tax returns than corporate returns, pass-through business income, business tax returns, corporate tax returns

Corporate and Pass-through Business Income and Returns Since 1980

More business income is reported on individual tax returns than corporate returns. The U.S. now has fewer corporations and more individually owned businesses. Corporations make up less than 5 percent of businesses but earn 60 percent of revenues.

3 min read
Gross income definition or gross pay definition TaxEDU Labor Share of Net Income is Within Its Historical Range President Biden Made in America Tax Plan and American Jobs Plan

The Alternative Minimum Tax Still Burdens Taxpayers with Compliance Costs

Although Congress intended the AMT to be a tax on wealthy taxpayers, for much of its history it has subjected middle-income taxpayers in high-tax states to heavy compliance burdens. TCJA reforms that have increased the AMT’s exemption and exemption phaseout threshold will shield some taxpayers from the AMT through 2025, but the number of taxpayers impacted will increase in 2026 when the TCJA’s individual income tax reforms expire.

14 min read