Lunch Links: April 29, 2016
April 29, 2016
Today is April 29, the anniversary of the passage of the “People’s Budget” in Britain in 1910, the first budget in history with the intention of taxing wealth to redistribute it.
- Oregon Initiative Petition 28: The Threat to Oregon’s Tax Climate: We just released this new report yesterday: “A ballot initiative primed for the November 2016 ballot could remake the corporate income tax in Oregon. It would assess a 2.5 percent gross receipts tax on corporations with annual sales in excess of $25 million, raising an estimated $5 billion over the biennium. If passed, its effects will be felt by businesses and individuals alike. The tax would add complexity to Oregon’s code, increase economic distortions, and greatly increase the state’s budget.” (Tax Foundation)
- IRS Estimates $458 Billion Gap Between Taxes Paid and Owed: Americans “voluntarily” (without enforcement) pay about 82% of their tax liability. The IRS says more money and more enforcement authority could help them close more of that gap. It’s probably true in this case, but the IRS always seems to conclude the solution to any problem is giving them more money and authority. (Wall Street Journal)
- China’s New Tax Regime to Spur Service Economy: China continues its shift from business taxes to consumption taxes, by expanding its VAT to construction, real estate, consumer, and financial services starting Sunday. (Wall Street Journal)
- Some States Seek Payday in Daily Fantasy Sports Sites: Are sites such as DraftKings and FanDuel games of skill or unregulated gambling? (Stateline)
- North Carolina Ranks #1 Fastest Growing Economy Since 2013: “Since 2013, North Carolina has the #1 fastest growing economy in the nation, according to the latest data released by the U.S. Department of Commerce Bureau of Economic Analysis. The state’s Gross Domestic Product (GDP) has seen a 13.4 percent increase since 2013.” (North Carolina Governor’s Office)
- Proposed Rollback of Kansas Tax Exemption Draws Opposition: The complete exemption of pass-through business income is under fire as the state’s budget gap grows again and S&P threatens a downgrade. Opponents of repeal say the state needs to increase efficiency and cut spending. (Kansas City Star)
- Better Incentive Information: Three Strategies for States to Use Economic Development Data Effectively: States evaluating incentives should (1) share relevant data between agencies, (2) ensure the data is high-quality with verification and easy submission procedures, and (3) analyze the data effectively, regularly, and comprehensively. (Pew Charitable Trusts)
- Maryland Governor Larry Hogan Speaks at American Action Forum: “We came very close in a recent legislative session to meaningful tax reform. But we're going to keep focused on it,” said the Governor. (American Action Forum)
And just for fun reading, the Language Creation Society defends Klingon language speakers in this brief submitted in a case where Paramount Pictures is asserting copyright over the language.