Excise Taxes

Meals Taxes across the Nation

States would do better to broaden the sales tax base to include currently exempt classes of final consumption than to impose disproportionate taxes on prepared foods.

10 Less Harmful Ways of Raising Federal Revenues

If lawmakers are convinced that new revenues must be part of any long-term effort to solve the budget crisis or offset the cost of extending the TCJA, they must choose the least harmful ways of raising new revenues or else risk undermining their efforts by slowing economic growth.

Cigarette Taxes in Europe, 2024

Diesel and Gas Taxes in Europe, 2024

Gas and diesel taxes continue to be prominent policy issues throughout Europe. As the EU undergoes sweeping changes for its green transition, fuel taxes are likely to be a crucial aspect of policy discussions.

How Do Governments Raise Revenue?

The government provides various services at the federal, state, and local levels. How are they paid for? Taxes.

Expanding User Fees for Transportation: Roads and Beyond

By 2034, the gas tax and other car-related excise taxes are projected to raise less than half of the Highway Trust Fund’s outlays. While broader tax and spending reforms are necessary for overall deficit reduction, improving transportation funding would be a crucial step forward.

Gas Tax Rates by State, 2024

Though gas taxes are intended to serve as user fees and pollution deterrents, they vary widely across states. How does your state’s burden compare?

STATES 2.0 Act Sets the Stage for Federal Cannabis Policy

According to recent reports, 72 percent of the current marijuana market in the US is illicit. Evidently, the federal criminalization of marijuana has failed to prevent its sale or consumption.

Good Policy Leads to More Tax Cuts for West Virginia

Next year, West Virginians will see an income tax cut thanks to revenue triggers in a 2023 law. The Mountain State joins 14 other states that have cut income taxes this year.

Current Challenges in Vaping Markets

As much as 98 percent of vaping products sold in the US are illicit. Most states levy an excise tax on vaping products, but these tax systems vary substantially. The result is a messy tax system covering largely illicit products, and no one knows whether taxes are being collected and remitted on most products sold nationwide.

Placing Biden and Trump Tax Proposals in Historical Context

From President Biden calling the Tax Cuts and Jobs Act the “largest tax cut in American history,” to former President Trump claiming that Biden “wants to raise your taxes by four times,” the campaign rhetoric on taxes may be sparking some confusion.

How Does the IRA’s Book Minimum Tax Affect 5G Competition?

A higher tax burden for private infrastructure investments like wireless spectrum, 5G technology, and machinery and equipment makes an existing problem worse—especially against the backdrop of outright state subsidies in countries like China.

White House Right on Importance of Business Investment, Wrong on Relevant Policy

The Treasury Department recently touted strong business investment in the years following the pandemic-driven recession and pointed to the Biden administration’s industrial policies in the Inflation Reduction Act and CHIPS Act as key drivers.

Retail Delivery Fees Are Not the Panacea for States’ Transport Budget Woes

Retail delivery fees are an inefficient and ineffective way to close budget gaps, and lawmakers should consider other, more sound, policy options.

The Impact of High Inflation on Tax Revenues across Europe

The European Union’s experience with high inflation highlights the critical need for adaptive fiscal policies. Best practices drawn from the academic literature recommend implementing automatic adjustment mechanisms with a certain periodicity and based on price increases.

State Tax Changes Taking Effect July 1, 2024

Summer has arrived and states are beginning to implement policy changes that were enacted during the legislative session (or are being phased in over time).

Portland’s Weirdly High Taxes

Portland residents face some of the country’s highest taxes on just about every class of income. In an era of dramatically increased mobility for individuals and businesses alike, that’s not a recipe for success. 

Vaping Taxes by State, 2024

The vaping industry has grown rapidly in recent decades, becoming a well-established product category and a viable alternative to cigarettes for those trying to quit smoking. US states levy a variety of tax structures on vaping products.

Details and Analysis of President Biden’s Fiscal Year 2025 Budget Proposal

President Biden is proposing extraordinarily large tax hikes on businesses and the top 1 percent of earners that would put the US in a distinctly uncompetitive international position and threaten the health of the US economy.

Tax Neutrality: Balancing Priorities

Neutral tax codes don’t play favorites or try to influence personal or business decisions but stick to what they’re best at – raising sufficient revenue through low rates and a broad base.