Tax Filing Season: Options for Improvement
Efforts to improve the taxpayer experience should focus on the IRS’s operations and include structural improvements to the tax code.
4 min read
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The Three Basic Tax Types
The better you understand taxes, the better equipped you are to make decisions about them. All taxes can be divided into three basic types: taxes on what you buy, taxes on what you earn, and taxes on what you own.
Ranking Unemployment Insurance Taxes on Our 2022 State Business Tax Climate Index
Ranking unemployment insurance tax codes on the 2022 State Business Tax Climate Index. Learn more about state unemployment insurance tax code and systems.
4 min read
Remembering Senator Orrin Hatch’s Historic Tax Legacy
Among the many achievements in the illustrious career of former Sen. Orrin Hatch (R-UT) was his commitment to bipartisan tax reform.
3 min read
Kansas Policymakers Should Improve Food Credit, Not Exempt Groceries
This legislative session, the sales tax on food has garnered a great deal of attention in Kansas, with policymakers on both sides of the aisle proposing the removal of groceries from the sales tax base.
7 min read
Missouri Tax Reform Could Give State Competitive Edge
Tax reform has become a major focus for state legislatures this session, and Missouri lawmakers are tuned in to the action: after adjusting individual income tax triggers in 2021, the legislature is exploring further tax reform options.
6 min read
Case Study: Taxing a New Industry
More states are contemplating the tradeoffs associated with legalizing recreational marijuana and taxing it to obtain a new stream of revenue. In fact, a key point when legalizing recreational marijuana is tax design. Most states that currently allow and tax sales have opted for a price-based (ad valorem) excise tax and levy the general sales tax on recreational marijuana sales.
Wealth Taxes in Europe, 2022
Only three European OECD countries levy a net wealth tax, namely Norway, Spain, and Switzerland.
3 min read
Chaotic IRS Filing Season Shows the Perils of Running Social Policy Through the Tax Code
As the deadline for tax filing nears, the IRS faces scrutiny for its backlog of returns, inaccessible taxpayer service, and delays in issuing certain refunds.
5 min read
History of Taxes
Learn where and when taxes originated and how they resemble taxes we have today. Understand how the American tax code developed from the beginning of the colonies. Learn about some of the weirder taxes throughout history, designed not just to raise revenue, but influence behavior too.
Lesson Plan: The Three Basic Tax Types
What are the three basic tax types in the American Tax Code? In this lesson plan, students will learn about taxes on what you earn, taxes on what you buy, and taxes on what you own. Learn how do these taxes fit together, how they impact government revenues and the economy, and where you may encounter them in your daily life.
Case Study: Sales Taxes vs. Excise Taxes
Excise taxes are imposed on a specific good or activity, such as cigarettes, alcohol, and fuel. Because of their narrow base, excise taxes distort production and consumption choices. Sometimes this distortion is by design. Compare the effects of sales taxes and tobacco excise taxes with real policy examples.
Federal Corporate Tax Revenue and All Federal Tax Collections Headed for Another Record High
Total tax collections are currently running 25 percent higher than last year, and if that pattern holds, total federal tax collections will reach over $5 trillion in FY 2022—a new all-time high.
3 min read
Personal Income Tax Adjusts for Inflation, But It Could Do Better
In times of inflation, a review of the tax code shows that some provisions are automatically indexed, or adjusted, to match inflation, while others are not. And that creates unfair burdens for taxpayers. But it’s not always as simple as just “adjusting for inflation.”
4 min read
The Surprising Regressivity of Grocery Tax Exemptions
Exempting groceries from the sales tax base reduces economic efficiency without achieving its objective of enhancing tax progressivity.
19 min read
Georgia Makes Strides Toward Tax Competitiveness
Lawmakers can be proud of the steps that they have taken toward a better tax code but should consider revisiting the design of the bill’s tax triggers in order to better accomplish their goal of responsible improvement.
6 min read
President Biden’s 61 Percent Tax on Wealth
As part of President Biden’s proposed budget for fiscal year 2023, the White House has once again endorsed a major tax increase on accumulated wealth, adding up to a 61 percent tax on wealth of high-earning taxpayers.
4 min read
Can Taxes Predict the UEFA Champions League Winner?
Before competing in the UEFA Champions League, football clubs in Europe also compete to lure the best players.
4 min read
Kentucky Legislature Sends Pro-Growth Tax Changes to Governor
Kentucky is making commendable progress toward a more modern and competitive tax code, but more work on comprehensive tax reform should be prioritized next session.
7 min read
State and Local Tax Burdens, Calendar Year 2022
Tax burdens rose across the country as pandemic-era economic changes caused taxable income, activities, and property values to rise faster than net national product. Tax burdens in 2020, 2021, and 2022 are all higher than in any other year since 1978.
24 min read