Business Taxes

Blending Considerations for Minimum Taxes on Foreign Income

Trump Administration Proposes Retaliatory Tariffs against France’s Digital Services Tax

Tax Foundation Response to OECD Public Consultation Document: Global Anti-Base Erosion Proposal (“GloBE”) (Pillar Two)

The tax base for the income-inclusion rule will be just as important as determining the rate, and both the base and the rate will likely impact business decisions. Additionally, policymakers need to determine how the choice for blending fits with the overarching goal of the policy. And as the example of GILTI shows, it is essential to assess how current international tax regulations would interact with a global minimum tax.

Understanding Why Full Expensing Matters

Understanding the channel through which a tax policy change is expected to affect the economy is crucial. Absent this understanding, we are likely to reach the wrong conclusions on what sound tax policy looks like and what changes would improve the tax code.

Closing the Tax Gap and Improving the Tax Code Are Complementary Goals

Wealth Taxes in Europe, 2019

Only three European countries levy a net wealth tax, namely Norway, Spain, and Switzerland. Belgium, Italy, and the Netherlands levy wealth taxes on selected assets, but not on an individual’s net wealth per se.

The Italian DST Marches On

Illustrating Senator Warren’s Taxes on Capital Income

Taken together, these proposed tax changes would significantly raise marginal and effective tax rates and increase the cost of capital, all of which would lead to a reduced level of output and less revenue than anticipated.

2020 Tax Brackets

The IRS recently released the new 2020 tax brackets and rates. Explore updated credits, deductions, and exemptions, including the standard deduction & personal exemption, Alternative Minimum Tax (AMT), Earned Income Tax Credit (EITC), Child Tax Credit (CTC), capital gains brackets, qualified business income deduction (199A), and the annual exclusion for gifts.

Welcome to the Index, Lithuania!

Carbon Taxes in Europe, 2019

New Report Finds Trade War is a Lose-Lose for U.S. and China

Response to OECD Public Consultation Document: Secretariat Proposal for a “Unified Approach” under Pillar One

Unifying the proposal under sound principles in the context of clear economic analysis should allow the Inclusive Framework to minimize both the administrative and economic burdens that the Secretariat’s proposal could create.

Evaluating Democratic Presidential Candidates’ Proposals to Raise the Corporate Income Tax Rate

The OECD’s Pillar 2 Proposal Raises Serious Questions

Addressing tax avoidance is a key political issue for many countries, but these policies should not be discussed without accounting for the size of the current problem, how recent policy changes have addressed it, and what potential impacts might come from this new approach.

What Voters Told Us about Taxes on Election Day

Tax Interactions in Senator Warren’s “Medicare for All” Proposal Would Reduce Potential Revenue

Ranking Corporate Income Taxes on the 2020 State Business Tax Climate Index

Carbon Tax and Revenue Recycling: Revenue, Economic, and Distributional Implications

In our new report, we explore the design implications of a carbon tax and provide estimates for revenue, economic, and distributional effects of three potential carbon tax and revenue recycling proposals. Each proposal faces different trade-offs and achieves different policy goals.

Results of 2019 State and Local Tax Ballot Initiatives

Election Day 2019 will feature notable tax-related ballot measures in California, Colorado, New Mexico, Pennsylvania, Texas, and Washington. Once the polls close tonight, beginning with Pennsylvania and Texas at 8 PM EST, we will begin tracking the results as they come in.