Business Taxes

Corporate Income Tax Rates in Europe, 2020

The Weird Way Taxes Impact Behavior

Learn about how taxes can influence human behavior through the power of incentives. See how different tax policies have impacted everything around us, including the buildings we live in, the cars we drive, and even what we eat and wear. Gain a deeper appreciation for the importance of designing tax policies that encourage positive economic behaviors.

Taxes: The Price We Pay for Government

Have you ever wondered where the money comes from to build roads, maintain a national defense, or pay for programs like Social Security? Taxes.

The Three Basic Tax Types

Discover the three basic tax types—taxes on what you earn, taxes on what you buy, and taxes on what you own. Learn about 12 specific taxes, four within each main category. Develop a basic understanding of how these taxes fit together, how they impact government revenues and the economy, and where you may encounter them in your daily life.

Not All Taxes Are Created Equal

Discover why there are better and worse ways for governments to raise a dollar of revenue. Compare the economic impact of the three basic tax types—taxes on what you earn, buy, and own—including three specific taxes within each category. Learn about the basics of “dynamic scoring,” one tool economists can use to compare the economic and revenue impact of different tax policies.

10 Common Tax Myths, Debunked

Identify some of the most common tax myths and tax policy misconceptions and learn how to separate fact from fiction. Discover why tax refunds shouldn’t be celebrated, why you should pay your income tax bill, and why certain deductions are wrongly labeled “loopholes,” among other useful facts. Improve your ability to counter misleading arguments about the tax code.

A Review of Net Operating Loss Tax Provisions in the CARES Act and Next Steps for Phase 4 Relief

In addition to providing economic relief to individuals and loans to businesses struggling during the coronavirus crisis, the CARES Act changed several tax provisions to increase liquidity to ensure firms survive a large decline in cash flow.

New OECD Study: Consumption Tax Revenues during Economic Downturns

Compared to other tax revenue sources, consumption tax revenue as a share of GDP tends to be relatively stable over time, even during economic downturns.

Will States Tax the Federal Government’s COVID-19 Lifeline to Small Businesses?

If states fail to update their income tax conformity, they will wind up taxing the federal lifeline to small businesses in the CARES Act: the Paycheck Protection Program (PPP) loans.

Is Now the Time for a $100 billion Tax Increase?

Seemingly unconcerned about how the digital project could impact the economy at this crisis moment, officials at the OECD recently released a statement boasting that they are continuing to work “full steam” on their global digital tax project.

April 10th Afternoon State Tax Update

California extends tax filing and payment deadline to July 31 for a broad spectrum of business taxes as Virginia keeps May 1st tax filing deadline.

Trade-offs of Delaying Tax Filing and Instituting a Payroll Tax Holiday on Businesses and Individuals

Some policymakers are proposing a payroll tax holiday for businesses and individuals for 2020 and a complete delay in filing deadlines for tax year 2019 and 2020 to April 2021. What are the pros and cons of doing so?

Evaluating the Trade-offs of Small Business Relief Provisions of the CARES Act

The small business provisions in the CARES Act support small businesses and nonprofits seeking economic relief during this downturn. However, creating multiple programs with overlapping purposes and differing qualification requirements makes relief more complicated, vague, and not neutral.

States’ Unemployment Compensation Trust Funds Could Run Out in Mere Weeks

Six states, which collectively account for over one-third of the U.S. population, are currently in a position to pay out fewer than 10 weeks of the unemployment compensation claims that have already come in since the start of the COVID-19 pandemic.

Watch: Tax Foundation Experts Discuss Short-term Coronavirus Relief Packages

What could the next phase of relief look like and what role does tax policy play in ensuring the U.S. and countries around the world make a strong economic recovery?

Capital Cost Recovery across the OECD, 2020

Although sometimes overlooked in discussions about corporate taxation, capital cost recovery plays an important role in defining a business’s tax base and can impact investment decisions—with far-reaching economic consequences.

Temporary Work Locations in a Permanent Establishment World

While much of the fiscal conversation surrounding the current pandemic has focused on tax relief and tax deferrals, another significant angle needs to be explored: the question of economic nexus.

State Rainy Day Funds and the COVID-19 Crisis

State revenue stabilization funds, often called rainy day funds, are better funded now than they were at the start of the Great Recession and can be a valuable tool as states face a sharp pandemic-linked economic contraction.

April 2nd Evening State Tax Update

California extends tax filing and payment deadline to July 31 for a broad spectrum of business taxes as Virginia keeps May 1st tax filing deadline.

Tracking State Legislative Responses to COVID-19

Many states are racing to pass budgets, emergency COVID-19 supplemental appropriations, and other must-pass legislation as quickly as possible. We’re tracking the latest state legislative responses to the coronavirus crisis.