The possibility of introducing a value-added tax (VAT) in the United States has been discussed on a sporadic basis for several decades. This paper examines issues related to small business and entrepreneurship under a VAT. Section II discusses the basic mechanics of a VAT, including the...
We explore issues related to a financial transaction tax (FTT) in the United States. We trace the history and current practice of the tax in the United States and other countries, review evidence of its impact on financial markets, and explore the key design issues any such tax must address. We...
How should governments use the considerable revenue carbon taxes can raise? There are many options for cutting other taxes, increasing spending, or reducing borrowing. We organize the options into four goals: offset the new burdens that a carbon tax places on consumers, producers, communities,...
This paper analyzes presidential candidate Jeb Bush’s tax proposal. It would reduce individual and business marginal tax rates, curtail tax expenditures, and convert the corporate income tax into a cash-flow consumption tax. The proposal would cut taxes at all income levels, reducing federal...
The effects of state tax policy on economic growth, entrepreneurship, and employment remain controversial. Using a framework that in prior research generated significant, negative, and robust effects of taxes on growth, we find that neither tax revenues nor top income tax rates bear stable...
The federal tax system imposes a number of excise taxes on goods and services such as gasoline, alcohol, tobacco, air travel, and health care. In fiscal year 2014, the federal government raised $93.4 billion or 0.5 percent of GDP from excise taxes, accounting for about 3 percent of total federal...
The case for a carbon tax is strong. A well-designed tax could efficiently reduce the emissions that cause climate change and encourage innovation in cleaner technologies. The resulting revenue could finance tax reductions, spending priorities, or deficit reduction—policies that could offset the...
In a contribution to the Policy Dialogue on Entrepreneurship blog of Kauffman.org. Joseph Rosenberg and Donald Marron examine how tax policy affects investment incentives for startup companies. Startups often make losses, and thus cannot make immediate use of the R&D tax credit, accelerated...
Entrepreneurship and Small Business Under a Value-Added Tax
The possibility of introducing a value-added tax (VAT) in the United States has been discussed on a sporadic basis for several decades. This paper examines issues related to small business and entrepreneurship under a VAT. Section II discusses the basic mechanics of a VAT, including the...
Financial Transaction Taxes in Theory and Practice
We explore issues related to a financial transaction tax (FTT) in the United States. We trace the history and current practice of the tax in the United States and other countries, review evidence of its impact on financial markets, and explore the key design issues any such tax must address. We...
How to Use Carbon Tax Revenues
How should governments use the considerable revenue carbon taxes can raise? There are many options for cutting other taxes, increasing spending, or reducing borrowing. We organize the options into four goals: offset the new burdens that a carbon tax places on consumers, producers, communities,...
An Analysis of Governor Bush's Tax Plan
This paper analyzes presidential candidate Jeb Bush’s tax proposal. It would reduce individual and business marginal tax rates, curtail tax expenditures, and convert the corporate income tax into a cash-flow consumption tax. The proposal would cut taxes at all income levels, reducing federal...
The Relationship Between Taxes and Growth at the State Level: New Evidence
The effects of state tax policy on economic growth, entrepreneurship, and employment remain controversial. Using a framework that in prior research generated significant, negative, and robust effects of taxes on growth, we find that neither tax revenues nor top income tax rates bear stable...
Taxing Carbon and Recycling theRevenue: Who Wins and Loses?
This Tax Fact explores the distributional impact of taxing carbon dioxide to combat climate change and in recycling the revenues into tax cuts.
The Distributional Burden of Federal Excise Taxes
The federal tax system imposes a number of excise taxes on goods and services such as gasoline, alcohol, tobacco, air travel, and health care. In fiscal year 2014, the federal government raised $93.4 billion or 0.5 percent of GDP from excise taxes, accounting for about 3 percent of total federal...
Taxing Carbon: What, Why, and How
The case for a carbon tax is strong. A well-designed tax could efficiently reduce the emissions that cause climate change and encourage innovation in cleaner technologies. The resulting revenue could finance tax reductions, spending priorities, or deficit reduction—policies that could offset the...
Tax Reform and Small Business
Eric Toder testified about tax reform and small business, before the House Committee on Small Business on April 15, 2015.
How Much Do Taxes Affect Startup Investment Incentives
In a contribution to the Policy Dialogue on Entrepreneurship blog of Kauffman.org. Joseph Rosenberg and Donald Marron examine how tax policy affects investment incentives for startup companies. Startups often make losses, and thus cannot make immediate use of the R&D tax credit, accelerated...