Tax expenditures on average raise after-tax incomes more for upper-income than for lower-income taxpayers. As a share of income, special rates for capital gains and dividends and itemized deductions provide the largest benefits for taxpayers in the top 1 percent of the income distribution, exemptions and exclusions benefit taxpayers in upper middle-income groups the most, and refundable credits provide the largest benefits to those in the bottom two quintiles of the distribution.
Archive for the ‘News’ Category
Distributional Effects of Individual Income Tax Expenditures: An Update
February 2nd, 2012 
LaurenRingman 
Posted in News 
Tags: average-raise, costs, credits-provide, distribution, groups-the-most, income, largest, percent-larger, revenue, revenue-cost, separate, special-rates, the-separate, two-quintiles 
No Comments »Tax Extenders and Tax Reform
February 2nd, 2012 BastaMoffit On Tuesday, I testified before the Senate Finance Committee at a hearing titled “ Extenders and Tax Reform: Seeking Long-Term Solutions .” I was already depressed about the state of our tax system before I started preparing. As I drafted my testimony, I became distraught
Posted in News Tags: bruce-bartlett, budget, challenges, code, congress, deficit reduction, fundamental, recurring, tax compliance, tax expenditures, tax policy center, tax-reform, tax-revenues, taxes No Comments »Three Strikes and You’re Out for Tax Extenders
February 1st, 2012 admin On Tuesday, the Senate Finance Committee held a hearing on “Extenders and Tax Reform: Seeking Long-Term Solutions.” It’s about time! The charade of annual or biennial debate about perpetually “expiring” tax provisions is terrible tax policy and a symbol of our failure to come to terms with budget reality. If you need help sleeping, download the Joint Committee on Taxation’s (JCT’s) annual list of expiring tax provisions —tax laws that have built in sunset dates
Posted in News Tags: against-the-amt, bush, effectiveness, food, individual income taxes, provisions, tax expenditures, tax extenders, tax-reform No Comments »What a Value-Added Tax Would Mean for the Tax Code—and the Economy
January 31st, 2012 BoomershineManzella 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 conclusion of a new study by my Tax Policy Center colleagues Eric Toder, Jim Nunns, and Joe Rosenberg
Curbing Tax Expenditures
January 30th, 2012 MisterX68048 This paper takes a broad look at tax expenditures in the context of revenue raising tax reform. It first reviews how tax expenditures have changed over the past 25 years and provides estimates of the distribution of tax savings resulting from tax expenditures today
Posted in News Tags: based-on-income, context, distribution, examines-three, look-at-tax, paper-takes, selected-group, tax-savings, three-optionsa, widely-utilized No Comments »Health Reforms Tax on Investment: Facts and Myths
January 30th, 2012 admin To help pay for expanded health insurance coverage, the health reform legislation enacted in 2010 included a new 3.8 percent tax on the net investment income of high-income taxpayers. When it goes into effect in 2013, it will increase the top tax rate on capital gains, dividends, and other investment income, regardless of whether the 2001 and 2003 tax cuts are allowed to expire
Posted in News Tags: burden, capital-gains, health, investment, percent-tax, tax-savings, the-health, the-income, three-optionsa No Comments »Romney’s Tax Plan Really Does Favor the Rich
January 30th, 2012 LaurenRingman Despite evidence to the contrary, there is a lingering view that Mitt Romney’s tax plan would primarily help middle-income households and not favor the rich.
Posted in News Tags: bush tax cuts, campaign 2012, capital-gains, contrary, corporate taxes, remaining, romney tax plan, tax-cuts, taxes, wealthiest No Comments »Using a VAT to Reform the Income Tax
January 26th, 2012 admin In 100 Million Unnecessary Returns, Columbia University law professor Michael J.
Posted in News Tags: analyzes-its, corporate, deficit, from-the-income, income, law-professor, reduce-the-top, sweeping-reform, tax-burdens No Comments »America Owes $10 Trillion! No, $50 Trillion! Let Me Explain.
January 26th, 2012 LaurenRingman In a contribution to the Christian Science Monitor, Donald Marron discusses the estimates of America’s debt which vary by tens of trillions of dollars, depending on how you count. The bottom line: It’s deep but not yet fatal.
Posted in News Tags: analyzes-its, corporate, debt-which, deficit, from-the-income, law-professor, not-yet, reduce-the-top, sweeping-reform No Comments »What the Romney and Gingrich 1040s Tell Us About How We Tax The Rich
January 26th, 2012 admin Ernest Hemingway: I am getting to know the rich. Mary Colum: I think you’ll find the only difference between the rich and other people is that the rich have more money. It turns out that when it comes to taxes, at least, Ms.
Posted in News Tags: buffett rule, campaign 2012, exercise, individual taxes, making-at-least, newt gingrich, president-obama, rich, tax policy center, tax-rates No Comments »
