Individual Income and Payroll Taxes

Analysis of the “SALT Act”

Lawmakers recently introduced a bill to repeal the $10,000 cap on the state and local deduction (SALT) and raise the top tax rate on ordinary income from 37 percent to 39.6 percent.

New Mexico Tax Increase Package Advances

Arkansas Chips Away at Tax Reform

Analysis of the Cost-of-Living Refund Act of 2019

We estimate that a new proposal to expand the EITC would reduce federal revenue by $1.8 trillion and decrease long-run GDP by 0.29 percent, while boosting labor force participation for low-income tax filers by 822,788 full-time equivalent jobs.

The Top 1 Percent’s Tax Rates Over Time

In the 1950s, when the top marginal income tax rate reached 92 percent, the top 1 percent of taxpayers paid an effective rate of only 16.9 percent. As top marginal rates have fallen, the tax burden on the rich has risen.

To Remedy Tax Compliance Problems, Gig Economy Firms Need Policy Certainty

The Composition of Federal Revenue Has Changed Over Time

The federal income tax and federal payroll tax make up a growing share of federal revenue. Individual income taxes have become a central pillar of the federal revenue system, now comprising nearly half of all revenue.

North Carolina Judge Strikes Down Income Tax Cap Constitutional Amendment

The Case for Universal Savings Accounts

Governor Evers Vetoes Wisconsin Standard Deduction Tax Relief Bill

Top Personal Income Tax Rates in Europe, 2019

State and Local Individual Income Tax Collections Per Capita

Governor Cuomo’s Aggressive Theory of Tax Flight—And Why He’s Wrong About How to Stop It

Wisconsin Tax Options: A Guide to Fair, Simple, Pro-Growth Reform

Despite tax cuts in recent years, Wisconsin’s overall tax structure lags behind competitor states in simplicity, tax rates, and business climate for residents and investment. Explore our new comprehensive guide to see how the Badger State can achieve meaningful tax reform.

The Status of State Personal Exemptions a Year After Federal Tax Reform

Sanders’ Estate Tax Plan Won’t Likely Raise the Revenue Intended

While progressivity may look appealing—particularly at a time when policymakers in Congress seem to be competing on how best to extract revenue from the wealthiest in the country—it may not raise the revenue intended.

Income Taxes on the Top 0.1 Percent Weren’t Much Higher in the 1950s

Recent plans to increase the tax burden on wealthy Americans, such as higher marginal income tax rates and wealth taxes, are flawed in several ways, including in their lack of understanding of tax history.

Implementing Phase Three of Individual Income Tax Cuts in Arkansas

Don’t Judge Your Taxes by Your Refund

The Real Lesson of 70 Percent Tax Rates on Entrepreneurial Income

The fall and then rise of entrepreneurial income claimed on the wealthy’s 1040 tax returns clearly tracks the seeming decline of inequality from 1950 to 1980, followed by the sudden rise in inequality since 1986. The shifting composition of income claimed by the rich due to changes in tax laws explains this illusion.