Tax collections vary widely by state, making per capita collections figures—a measure of collections per person—especially useful, as they allow comparisons across differences in tax rates and bases, economic capacities, and policy decisions that impact the size and scope of government.
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The economic literature overwhelmingly finds that an income tax increase of this magnitude would negatively affect economic growth and opportunity in Rhode Island.
Illinois’ proposed Millionaire’s Tax would raise taxes on Illinois families and businesses in an economically damaging way, further harming the state’s competitiveness and reducing economic opportunity even for those Illinois residents who would not owe the tax directly.
Millions of Americans, along with significant amounts of income and economic activity, are moving from high-tax states to those with more competitive tax systems and lower overall costs of living.
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New IRS data shows the US federal income tax system continues to be progressive as high-income taxpayers pay the highest average income tax rates. Average tax rates for all income groups remain lower after the Tax Cuts and Jobs Act (TCJA).
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Maine’s proposed millionaire’s tax would bring Maine’s top income tax rate to 9.15 percent, dealing a blow to the state’s economic competitiveness.
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Should you have to file a tax return in a state where you babysat for one hour? In 22 states, the answer is technically yes.
Facts & Figures serves as a one-stop state tax data resource that compares all 50 states on over 40 measures of tax rates, collections, burdens, and more.
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What is a border adjustment? Is it a new idea? How would it work in practice?
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President Trump and those in his administration have insisted that consumers are not bearing any of the tariffs. But the latest data show exactly the opposite.
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The variety of approaches to taxation among European countries creates a need to evaluate these systems relative to each other. For that purpose, we have developed the European Tax Policy Scorecard—a relative comparison of European countries’ tax systems.
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Notably, the OBBBA makes permanent the individual tax changes first put in place by the TCJA, which avoids a tax hike on an estimated 62 percent of tax filers in 2026.
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The pass-through business sector—including partnerships, S corporations, and sole proprietorships—employs most of the private-sector workforce in the US and accounts for about half of US business income.
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The Supreme Court ruling against the IEEPA tariffs provides immediate relief to US businesses and workers and is a welcome rebuke of President Trump’s overreach of executive authority to unilaterally impose significant tax hikes on the US economy.
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Individual income taxes are a major source of state government revenue, accounting for more than a third of state tax collections. How do income taxes compare in your state?
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Our analysis of the major tax provisions included in the OBBBA finds it will increase long-run GDP by 0.7 percent. The major tax provisions will reduce federal tax revenue by nearly $5.2 trillion between 2025 and 2034, on a conventional basis.
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Washington lawmakers are holding their first hearing on long-anticipated legislation that would create a new 9.9 percent tax on income over $1 million.
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With changes to payroll taxes likely to be part of a toolkit for reform, both policymakers and the public would benefit from understanding how the payroll tax works, who pays it, and its impact on the economy.
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Should both HB 979 and HB 378 pass, Virginia would have the nation’s highest top marginal rate on investment income.
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One area of the tax code in which extreme complexity and low compliance go hand-in-hand—and where reform is desperately needed—is in states’ nonresident individual income tax filing and withholding laws.
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