The American Opportunity Tax Credit can offset qualified higher education expenses for eligible students. The credit largely benefits lower- and moderate-income households.
November 22, 2021
November 22, 2021
Family holdings of retirement assets vary widely by race and ethnicity. In 2019, the median White family had $80,000 in retirement holdings, whereas the median Latino family and median Black family each had less than half that amount.
November 15, 2021
November 15, 2021
In 2019, per-capita state and local expenditures varied widely by geography. The highest per-capita spending was mostly concentrated in the Northeast and Pacific Coast; while the lowest per-capita spending was mostly in the South and Great Plains.
November 8, 2021
November 8, 2021
The average amount claimed in federal Earned Income Tax Credits (EITCs) has increased over time. In 1975, the average amount per claimant was $936 (in 2018 dollars), whereas in 2018, it was $2,451, or nearly three times more.
November 1, 2021
November 1, 2021
Many families hold some amount of financial assets, broadly defined. However, stock holdings are greatly skewed; median holdings for the top ten percent of families owning stock were more than five times higher than the next highest percentile group in 2019.
October 25, 2021
October 25, 2021
The tax code includes several credits, deductions, and exclusions for economic development projects in underserved areas. In the 2021 fiscal year, these tax expenditures cost the federal government $5.4 billion in revenue.
October 18, 2021
October 18, 2021
In the last 20 years, the median state cigarette tax rate more than tripled from $0.51 to $1.78 (in 2021 dollars). However, state cigarette taxes still vary significantly—from $0.17 in Missouri to $4.50 in DC.
October 11, 2021
October 11, 2021
CBO estimates that the top 1 percent will bear about 45% of the burden of the corporate income tax in 2019, up from 29% in 1979. Shares of most other groups have declined.
October 4, 2021
October 4, 2021
After-tax income inequality has grown over time. Between 1979 and 2018, the share of aggregate after-tax income going to the top 1% of households grew from 7.4% to 13.6%. The shares for the bottom 90% of households by income declined.
September 27, 2021
September 27, 2021
Grocery food is exempt from most state-level general sales taxes. Among the 13 states that tax it, only Alabama, Mississippi, and South Dakota levy their full tax rate without any credit or rebate.
September 20, 2021
September 20, 2021
Federal tax law exempts credit unions from paying corporate income taxes. According to the Treasury, this exemption will cost $25 billion in forgone tax revenue between 2021 and 2030.
September 13, 2021
September 13, 2021
The minimum cash wage for most tipped employees is equal to the federal rate of $2.13 an hour in 16 states, higher than $2.13 but lower than their own state minimum wage in 27 states and DC, and equal to their state minimum wage in 7 states.
September 6, 2021
September 6, 2021
General charges, or payments for specific government services such as hospital fees, state university tuition, and parking meters, totaled $548 billion in 2018. Over time, these have grown from 14% of own-source state and local general revenue in 1978 to 21% in 2018.
August 30, 2021
August 30, 2021
Taxes on motor fuels are the biggest revenue source for the Highway Trust Fund, but those tax rates have not changed since 1993. In recent years, transfers from the General Fund have been necessary to support trust fund spending.
August 23, 2021
August 23, 2021
Individual income taxes comprised 17% of own-source state and local general revenue (excluding federal transfers) in 2018. This share was over 25% n CT, MA, MD, NY, and OR. Nine states do not have a broad-based individual income tax.
