To achieve meaningful tax reform, Congress will require significant base-broadeners. Saving the property tax deduction makes the math more difficult, but still leaves clear paths forward.
6 min read
Corporate tax reform done right is key to growing the economy, boosting real family incomes, and making the U.S. a better place in which to do business.
5 min read
When taking a closer look at the UK’s recent corporate tax reform experiment, it becomes clear that there was significantly more at work than just a simple rate cut. Increasing the effective marginal tax rate on new investments could have had a negative effect on wages, potentially offsetting the positive effects from the corporate rate cut.
4 min read
Recent empirical evidence shows that workers bear upwards of 70 percent of the corporate income tax burden, much more than popular tax models claim, which make errors in how they account for super-normal returns and the openness of our economy.
50 min readDue in part to historical accident and also to the proliferation of exemptions, the effectiveness of the state sales tax continues to erode. The median state sales tax, which should apply to all personal consumption, is nonly applied to 23 percent of personal consumption.
25 min read
The state and local tax deduction isn’t just a costly federal subsidy. It also skews state and local tax policy decisions.
2 min read
For 15 years, our State Business Tax Climate Index has been the standard for legislators and taxpayers to understand how their state’s tax code compares and how it can be improved. Now, for the first time ever, you can explore our Index’s 100+ variables in an easy to use, interactive format.
16 min read
The broad conclusion here is that, in drafting the Republican Framework, lawmakers have left themselves with at least one significant lever for delivering middle class tax relief: the child tax credit.
7 min read
A cap on the state and local deduction would limit tax increases for high-income taxpayers but also raise about one-quarter the revenue as full repeal.
2 min read
If lawmakers are looking to maximize the positive economic effects from a tax bill, then improving tax depreciation for structures should probably be part of the conversation. Here are a few options.
10 min read
Instead of making expensing temporary, lawmakers could pursue other ways to speed up cost recovery with permanent economic gains and without drastically reducing revenue. One way to do that is by enacting “depreciation indexing.”
12 min read
Tax reform should aim to get the tax code out of the way of entrepreneurship by making it simpler, less burdensome, and eliminating its anti-growth biases.