The economic crisis caused by the coronavirus pandemic poses a triple challenge for tax policy in the United States. Lawmakers are tasked with crafting a policy response that will accelerate the economic recovery, reduce the mounting deficit, and protect the most vulnerable.
To assist lawmakers in navigating the challenge, and to help the American public understand the tax changes being proposed, the Tax Foundation’s Center for Federal Tax Policy modeled how 70 potential changes to the tax code would affect the U.S. economy, distribution of the tax burden, and federal revenue.
In tax policy there is an ever-present trade-off among how much revenue a tax will raise, who bears the burden of a tax, and what impact a tax will have on economic growth. Armed with the information in our new book, Options for Reforming America’s Tax Code 2.0, policymakers can debate the relative merits and trade-offs of each option to improve the tax code in a post-pandemic world.
![Seattle Head Tax Repeal](https://taxfoundation.org/wp-content/uploads/2018/06/seattle-416065-300x224.jpg)
![New Jersey Considers 12 Percent Corporate Tax Rate](https://taxfoundation.org/wp-content/uploads/2018/03/NJCIT2018-02-300x258.png)
![Annual Social Security Benefits](https://taxfoundation.org/wp-content/uploads/2018/06/Social-Security-Chart-300x215.png)
![OECD countries and globe, Fair Share Claims but Businesses are Central to Tax Collection Systems](https://taxfoundation.org/wp-content/uploads/2017/11/AdobeStock_103186140-e1529337656701-300x200.jpeg)
The OECD Highlights the Economic Growth Benefits of Full Expensing
The Organisation for Economic Co-operation and Development (OECD) praised a measure in the Tax Cuts and Jobs Act (TCJA) passed last December.
2 min read![Sales tax, Sales tax 2016, sales tax by state 2016](https://taxfoundation.org/wp-content/uploads/2016/07/shopping1-e1592182146154-300x200.jpg)
New Letter Says the “Retail Glitch” is Discouraging Business Investment
Retail groups sent a letter to Congress explaining that the “retail glitch” in the Tax Cuts and Jobs Act would discourage business investment.
3 min read![e-commerce Quill Wayfair internet online sales tax](https://taxfoundation.org/wp-content/uploads/2018/01/AdobeStock_70869411-e1529337344273-300x200.jpeg)
![Technology](https://taxfoundation.org/wp-content/uploads/2017/04/636048910501758527-1779617825_technology-e1529342654944-300x200.jpg)
![imports exports tariffs](https://taxfoundation.org/wp-content/uploads/2014/05/AdobeStock_82193464-e1529343111249-300x200.jpeg)
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Highlights from the New JCT Tax Expenditure Report
How have federal tax expenditures changed since passage of the Tax Cuts and Jobs Act? We compare 2017 and 2018 Joint Committee on Taxation estimates.
8 min read![IRS, Federal Income Tax Data](https://taxfoundation.org/wp-content/uploads/2015/01/310860384_1a2c882e1f_o-e1529356053290-300x225.jpg)