Lunch Links: Republican VP Candidate Pence Releases Tax Returns; Germany’s Finance Minister Calls for European Tax Cuts; Philadelphia Downgraded by Moody’s for Perilously Low Cash Fund Balances
September 12, 2016
Today is September 12, the date in 1848 when Switzerland was reorganized from a loose confederation into a federal state, following a month-long civil war. The new central government would have some key powers but cantons would preserve most local decision-making and the legislature was divided (similar to the U.S.) into an upper house, with each canton having equal representation, and a lower house, elected by the people as a whole. On taxes, Swiss cantons can set their tax rates and establish new taxes, but bases of existing taxes are harmonized. All taxes are subject to popular referendum.
Here are some interesting links I came across:
Pence Releases Tax Returns: The Republican vice-presidential nominee earned his governor’s salary, a federal pension from his time in Congress, but lost a small amount on his wife’s painting business. They deducted student loan interest, $8,923 in charitable contributions, and received education tax credits for their children in college. (The Wall Street Journal)
French EU Tax Head Defends Apple Decision: European Tax Commissioner Pierre Moscovici defended the European Commission’s decision to order Apple to pay €13 billion ($14.6 billion USD) to Ireland, saying it was neither arbitrary nor “anti-U.S.” (Bloomberg BNA)
Germany’s Schäuble Says Common Corporate Tax Base in EU a Good Idea: Germany’s finance minister applauds the European Commission’s work to create a common consolidated corporate tax base in Europe. (Reuters)
Germany’s Schäuble Calls for Tax Cuts: Not sure how to square this with the above, but Schäuble also wants a €15 billion ($16.8 billion USD) tax cut. (Euractiv)
Philadelphia Living Paycheck to Paycheck: Cities ought to have cash on hand of between 6 and 8 percent of its budget, if not more. Philadelphia, however, has a fund balance of about $100 million out of its $4 billion budget, or about 2.5 percent, and set to fall to 1 percent in 2018. Moody’s downgraded the city last week, in part due to low fund balances. (BillyPenn)
The Washington Post Endorses Carbon Tax: The editorial board says the tax could replace the gasoline tax and avoid aggressive regulations. (The Washington Post)
Why Taxing Fairly Means Not Taxing Inheritances: Harvard economics professor N. Gregory Mankiw wrote a piece arguing the estate tax punishes frugality and rewards profligacy. (The New York Times)
Was this page helpful to you?
The Tax Foundation works hard to provide insightful tax policy analysis. Our work depends on support from members of the public like you. Would you consider contributing to our work?Contribute to the Tax Foundation
Let us know how we can better serve you!
We work hard to make our analysis as useful as possible. Would you consider telling us more about how we can do better?Give Us Feedback