A Divided Supreme Court Rejects Maryland’s Tax On Out-Of-State Income

By :: May 18th, 2015

In a 5-4 decision, the U.S. Supreme Court ruled today that a Maryland law is unconstitutional because it allows residents only a partial tax credit for out-of-state income that is taxed in other states.  The decision not only invalidates the Maryland law but may also limit similar taxes in New York, Pennsylvania, Indiana, and Ohio. […]

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Runnin’ on Empty

By :: May 18th, 2015

Long-term federal highway funding: Still stuck in the breakdown lane. House Transportation and Infrastructure Committee Chair Bill Shuster and Ways & Means Chair Paul Ryan need more time to “reach a bipartisan agreement” on financing the Highway Trust Fund so they introduced a bill to extend the program for two months. The Senate seems ready […]

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Steady On toward Tax Reform

By :: May 15th, 2015

The Senate Finance Committee’s working groups on tax reform have narrowed their focus. Chair Orrin Hatch sounds like he’s given up on broad-based reform for now, but Tax Analysts reports (paywall) that the groups have focused on four areas where they still may make progress: Education, charity, and homeownership incentives, and tax administration. The group […]

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The Scary New World of Tax Fraud

By :: May 14th, 2015

Back in the day—say 2011–tax fraud was pretty straightforward. Taxpayers deliberately understated income or overstated deductions to cheat the system for their own benefit. Not anymore. Now, a growing share of such fraud is about crooks using the identities of innocent taxpayers to steal money. If you have a home phone or an email account, these […]

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Wishes, Dreams, and Bittersweet Denials

By :: May 14th, 2015

Be careful what you wish for. Businesses have backed an overhaul of the US tax code for quite some time, but their tune changes when it comes to corporate tax reform in other countries. The Base Erosion and Profit Shifting project, or BEPS, is an effort by  the Organization for Economic Cooperation and Development to […]

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Still On a Road to Nowhere

By :: May 13th, 2015

A short road too often traveled. Federal highway funding is due to expire in about two weeks, and Transportation Secretary Anthony Foxx says a temporary extension—the 33rd in six years—would “prolong a dangerous status quo of funding infrastructure at a level that has left our transportation system gasping for air.” But Congress is almost certain […]

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Is the GOP’s Enthusiasm for Tax Cuts Going the Way of American Idol?

By :: May 12th, 2015

The silence is deafening.  Remarkably, Republicans lining up to run for president aren’t talking about cutting taxes. Tax reform? Sure. Rate cuts? Absolutely. But so far at least, national Republicans seem more willing to tackle same-sex marriage than big Ronald Reagan/George W. Bush-style tax cuts. The latest examples are New Jersey Governor Chris Christie and former neurosurgeon and […]

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On Cybercrime and Corporate Competitiveness

By :: May 12th, 2015

More about the new IRS cybercrime division. Tax Analysts reports that it will handle “large-scale, multi-jurisdictional, and international cases that facilitate stolen identity refund fraud or that affect tax administration.” Its main base of operations will be in Washington, DC, and it will have points of contact in IRS Criminal Investigation divisions in 25 states. […]

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Broke, Burdened, and Maybe Blowin’ Less Smoke

By :: May 11th, 2015

The Illinois Supreme Court says “No” to the state’s proposed pension overhaul. The plan would have limited cost-of-living adjustments for public employees, raised the retirement age for some, and capped pensions for those with highest salaries. But the Illinois constitution says benefits for public pensioners “shall not be diminished or impaired.” This sends Illinois back […]

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Budget Woes, Taxing Times

By :: May 8th, 2015

Don’t believe the hype: Budget work in Congress has only just begun. TPC’s Howard Gleckman explains that the budget resolution passed by the congressional GOP is just a fiscal outline. The real fun—or in the case of Congress, conflict—begins when they start hashing out spending details. In Louisiana, the House approved lots of tax bills, […]

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