Eric Toder

Eric Toder is the Co-Director of the Tax Policy Center. Previously, Toder was the Treasury Deputy Assistant Secretary for Tax Analysis from 1993 to 1996, Director of IRS Research from 2001 to 2004, Deputy Assistant Director for Tax Analysis at the Congressional Budget Office, 1984-88 and 1991-93, and Consultant to the New Zealand Treasury from 1988 to 1991. He is the author and co-author of numerous papers on tax policy, tax administration, and retirement issues. Twitter: @etoder

Corporate Tax Inversions are Only Part of the Problem

By :: December 10th, 2015

The planned merger of Pfizer and Allergen to create an Irish parent company, a transaction often called an inversion, has rekindled concerns about U.S. multinationals that combine with foreign corporations and move their residence overseas to reduce their income taxes. Political leaders in both parties want to stop inversions, but their solutions differ radically, reducing […]

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Corporate Tax Reform and Small Business

By :: April 17th, 2015

While there is no chance that Congress will agree to broad-based tax reform before the next president takes office in 2017, lawmakers are making one last effort to enact a more narrow business-based reform. But they face a big challenge:  reforms under consideration could raise taxes paid by many small businesses. To help lawmakers understand […]

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What if We Funded Public Education Like Affordable Care Act Health Insurance?

By :: February 27th, 2015

The Tax Policy Center’s recent panel discussion on the Affordable Care Act’s tax-based system of subsidies and penalties highlighted the convoluted way the ACA promotes health insurance. As a thought experiment, imagine if we funded public education the same way we pay for the ACA’s exchange-based insurance. Their goals are similar. Both seek to promote […]

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Reforming Corporate Taxation

By :: November 24th, 2014

The Cato Institute has organized an online forum to debate pro-growth economic policy reforms. Tax Policy Center scholars Bill Gale, Donald Marron, and Eric Toder have each contributed to the discussion. The U.S. corporate tax system is broken. The current method of taxing the profits of large, publicly traded corporations was designed for an economy […]

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How Political Gridlock Encourages Tax Avoidance

By :: August 5th, 2014

In July, Treasury Secretary Jack Lew asked Congress to stop the current wave of corporate expatriations. The legislation is going nowhere, and Treasury and the IRS are unwilling to act on their own, though some legal experts believe they already have the authority to curb the transactions. This is just the most recent example of […]

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Who Should Get the Tax Revenue from Apple’s Intellectual Property?

By :: March 17th, 2014

U.S. lawmakers are not alone in their frustration over Apple’s success at avoiding corporate income taxes by shifting reported profits to other countries. News organizations in Australia report that since 2002 Apple has paid only $193 million of Australia corporate income tax on domestic revenues of $27 billion – an income tax equal to just […]

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Tax Reform’s Quiet Protectionism

By :: March 10th, 2014

House Ways and Means Chairman Dave Camp has offered a detailed and thoughtful set of proposals on international tax reform, as did former Senate Finance Chairman Max Baucus in November, 2013. The proposals, however, contain a new form of subtle protectionism. They quietly aim to discourage U.S.-based multinationals from making products overseas and selling them […]

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How to Improve the Tax Subsidy for Home Ownership

By :: April 30th, 2013

Last week, at the request of the House Ways and Means Committee, I testified on how Congress could reform the mortgage interest deduction, a popular tax expenditure provision with a big sticker price. The congressional Joint Committee on Taxation estimates the mortgage interest deduction will cost $380 billion over the next five years, making it […]

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Moving to a Territorial Tax May Not Be the Windfall Multinationals Expect

By :: April 4th, 2013

House Republicans, former GOP presidential hopeful Mitt Romney, and the chairs of President Obama’s 2010 fiscal commission, Erskine Bowles and Alan Simpson, have all called for changing the way the U.S. taxes multinational corporations. The concept: Shift from a system where U.S. firms pay U.S. tax on their worldwide income to one where they’d pay […]

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Not Yet Time to Break Out the Champagne

By :: March 18th, 2013

Those of us who have spent much of our careers in Federal tax policy offices have reason this week to feel vindicated. While the two political parties could not be further apart in their ideologies and their views about the proper role of government, the budget resolutions in both the Republican House and the Democratic […]

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