Tag: ‘CTC’

Reforming the Child Tax Credit for Low-Income Workers

By :: December 9th, 2015

Congress could significantly help low-income families with children by making current eligibility rules for the Child Tax Credit (CTC) permanent. If lawmakers allow the current threshold to expire as scheduled after 2017, families with children in the lowest income quintile will lose almost $700. Over the past few years, members of Congress from both sides […]

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Back at the Tax Extender Trough

By :: December 1st, 2015

For years, Congress has struggled with what to do with scores of temporary tax breaks that have come to be known as the “tax extenders.”   The usual resolution: Lawmakers fiddle for months. Then, sometime in December, they mindlessly continue the immortal mostly-business tax breaks for another year or two. Last year, Congress never could agree […]

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The GOP Debate: Squabbles Over Refundable Credits, Deductions, and Conservatisim

By :: November 11th, 2015

Last night’s GOP presidential debates (here’s a transcript of the main event) highlighted some important tax policy contrasts among the candidates. One thought refundable credits are conservative economic policy while another did not.  Nearly all would preserve deductions for mortgage interest and charitable gifts but one would ditch them. One worried about what his rivals’ […]

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Will Immigrants Get A Tax Windfall From Refundable Credits?

By :: December 12th, 2014

In the end-of-the-year congressional scramble, lawmakers scuttled an effort to permanently extend a number of tax breaks—largely because many feared it would open the door to widespread use of refundable tax credits by undocumented immigrants covered by President Obama’s recent executive order.  But is their concern justified? Three sets of rules related to residency and […]

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What You Get for the Money: Will It Be What You Need?

By :: December 4th, 2014

Tax Expirers: On to the Senate. On a roughly party-line vote, the House restored 55 expired tax provisions and extended them for… three weeks. Now the Senate gets to decide whether to go along or to amend the bill, most likely by extending the measures through 2015. And the world turns… Shouldn’t Congress comparison-shop before […]

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Tax Deals: Will Everything Old Be New Again?

By :: December 1st, 2014

Dave Camp on tax reform: “It can be done.” Retiring House Ways & Means Chair Dave Camp remains optimistic. The Hill reports that a deal to extend expiring tax breaks could give Camp’s successor, Paul Ryan, a chance to secure broad GOP support for a tax reform plan. About that tax extender deal… The White […]

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A Billionaire Saves, Two Words Disappear, and Three Provisions Protect

By :: November 14th, 2014

There’s more than one way to skin a cat (and reduce taxes). Warren Buffett, chairman of Berkshire Hathaway, has made a swap for Procter & Gamble’s interest in Duracell. The “cash-rich split-off” means that Berkshire Hathaway bought Duracell in exchange for its appreciated P&G stock, worth $4.7 billion. Capital gains taxes are not incurred since […]

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High Income Households Would Pay Most—But Not All—of the New Taxes in Obama’s 2014 Budget

By :: April 22nd, 2013

The revenue proposals included in President Obama’s 2014 budget would, as intended, significantly raise taxes on the highest-income American households. However, despite Obama’s long-standing pledge to protect individuals making below $200,000 (and couples making $250,000 or less) from any tax hikes, even many of those families would pay slightly more than under today’s tax law. […]

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How Government Limits Upward Mobility

By :: July 19th, 2012

Upward mobility has been a foundation of America’s self-image since the 18th century. If you work hard enough, nothing can stop you from getting ahead. That, at least in the minds of many Americans, is what distinguishes us from much of the rest of the world. Yet, according to my always-provocative Tax Policy Center colleague […]

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