Tag: ‘VAT’

Revenues, ‘Rithmetic, and the Power of Magical Thinking

By :: June 20th, 2014

What’s a nation to do with as-yet-untaxed US multinational corporate income? The Center on Budget and Policy Priorities analyzes what a repatriation tax holiday might mean for the US economy. In short: it wouldn’t help. The Business Roundtable, a group of corporate chief executives, doesn’t want to see temporary revenues from the tax holiday used […]

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Depreciation, Digital Economies, Carbon, and Oil

By :: May 30th, 2014

Appreciation for depreciation is really, really expensive. Perhaps unsurprisingly, the House Ways and Means Committee easily approved permanent restoration of bonus depreciation for capital investment yesterday. The Committee’s party-line vote would make permanent a measure to let companies write off more than half the cost of  investments in the same year they are made. The […]

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

By :: November 26th, 2013

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 […]

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Can the Income Tax Fund the Government We Want?

By :: February 5th, 2013

Can the income tax fund the government we seem to want? Probably not. Will lawmakers create a revenue system that will? Not anytime soon. That was the consensus of four tax policy experts at an Urban Institute panel I moderated this afternoon. The panelists–historian Joe Thorndike, Urban Institute economist and tax reform veteran Gene Steuerle, […]

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What Tax Reform Would Mean for the States

By :: February 7th, 2012

What would fundamental changes in the federal tax code mean for state and local governments? Would it limit their ability to raise or borrow money? Would it make their revenue systems more or less progressive or even work more smoothly? Last Friday, I participated in a joint Tax Policy Center and UCLA Law School conference […]

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What a Value-Added Tax Would Mean for the Tax Code—and the Economy

By :: January 31st, 2012

A well-designed Value-Added Tax could simplify the tax code for most households and finance significant reductions in corporate and individual income tax rates without adding to the budget deficit. And it could be a key piece of a revenue system that is both progressive and less intrusive in economic decisions than today’s law. That’s the […]

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Pick Your Poison: VAT or Higher Income Tax Rates

By :: December 5th, 2011

With congressional deficit reduction efforts largely collapsed, the question remains: What are we going to do about the nation’s long-term budget mess? Since any realistic deficit reduction plan will require significant new revenues, is a Value-Added Tax a sensible way for government to raise those extra dollars? In an effort to find out, the Pew […]

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Do Republicans Really Want to Cut Taxes on the Wealthy and Raise Them on Everyone Else?

By :: August 25th, 2011

Of all the curious rhetoric floating around both Washington and the campaign trail, the strangest may be the demand of many Republicans that Congress raise taxes for low-income working households even as it cuts taxes for the wealthy.  The left has, not surprisingly, gleefully leapt on the issue. And, honestly, it seems like terrible politics […]

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