Posts Tagged ‘Tax Policy Center’

Fiscal Magic: Paying for New Highways by Cutting Corporate Taxes

Does it make sense to fund much-needed roads, bridges, and mass transit with a big tax cut for multi-national corporations? A growing number of Democrats and Republicans seem to think so. But I have my doubts. At first glance, what could be more appealing? At a time when the Highway Trust Fund is grossly underfunded–thanks […]

Taxes: A Big Gun In The War on Poverty

When Lyndon Johnson declared his War on Poverty 50 years ago this month, he could not have imagined how many battles would be fought through the Tax Code. In the ‘60s and early ‘70s, the safety net was built almost entirely on spending programs.  Back then, policymakers created Medicare, Medicaid, student loan programs, and Head […]

Finance Chairman In-Waiting Ron Wyden Is A Tax Reformer

Senator Ron Wyden (D-OR), who is poised to become the new chair of the Senate Finance Committee, is the sponsor of a major tax reform plan that would reduce both individual and corporate tax rates without adding to the deficit or changing the current distribution of taxes among income groups very much. The 64-year-old Wyden, […]

TheTaxVox 2013 Lump of Coal Award: Wait ‘Til Next Year Edition

Tax Vox proudly announces its seventh annual Lump of Coal Award for the worst tax and fiscal policies of 2013. The year was a curious mix of really bad ideas and dithering. After all, Congress’s finest moment may have been its December budget mini-deal—a decision that effectively ignored every one of the great fiscal questions facing […]

A New Look at Who Benefits from Tax Expenditures

Who benefits from the tax credits, deductions and exclusions that have become such an integral part of the modern tax code? Nearly all of us. And that’s why any tax reform that eliminates or scales back many of these preferences in return for lower tax rates is so hard to do. The Tax Policy Center […]

Whither the Tax Extenders?

In three weeks, more than 60 expiring tax provisions will…expire. At least for a while. It isn’t unusual for these mostly-business tax breaks to temporarily disappear, only to come back from the dead a few months after their technical expiration. But this time businesses are more nervous than usual. Their problem: Congress may have few […]

Analyzing Taxes and Transfers Together

Government redistributes income through tax and spending programs. Nearly everyone pays some tax – be it federal or state income taxes, payroll taxes, or sales taxes. The tax system also affects people by delivering a host of benefits through tax expenditures (subsidies like the mortgage interest deduction or the child tax credit).   And broad spending […]

A Value-Added Tax That Won’t Raise Revenues Or Boost Taxes on the Poor

For many years, Michael Graetz, now a law professor at Columbia University, has been promoting a national Value-Added Tax (VAT) that would become the principal levy paid by most Americans. VATs–and similar broad-based consumption taxes–are enormously controversial in the U.S. even though they are ubiquitous throughout the rest of the world and enjoy widespread support […]

Baucus Proposes International Tax Reform But Future Action Remains Uncertain

In an effort to jumpstart moribund tax reform efforts, Senate Finance Committee Chairman Max Baucus (D-MT) is suggesting major changes in the way U.S.-based multinational corporations are taxed on their overseas income. The plan is quite specific (even including legislative language and a 90-page technical summary) but it is not a formal proposal and leaves many […]

As Budget Talks Start, Beware the Bogus Revenue Hikes

As House and Senate budget negotiators sit down (eight months late), the inevitable issue of new revenues has already raised its head. Predictably, Democrats insist that any fiscal deal include new taxes. Equally predictably, Republicans demand that it must not. But behind the scenes, Washington’s wink-and-nod crowd thinks it has a solution: Raise new tax […]