This brief looks at the Workforce Innovation and Opportunity Act of 2014 (WIOA) and its emphasis on coordination between economic development and workforce development programs. In fact, one WIOA’s main purposes is to better align workforce and economic development systems, more tightly...
Changing demographics, technology, and inflation are creating an increasingly difficult environment for state budgets. An aging population puts more pressure on spending programs while reducing tax revenues from some sources. State sales tax revenue systems have not kept up as technology has...
Cuts in top state income taxes are intended to raise economic growth, but could instead force punishing spending cuts, as revenues fall and states confront borrowing constraints. Previous work shows no clear impact of state taxes on growth. In new research, we build on a widely cited study that...
Every year, the Urban Institute produces hundreds of reports, briefings, webcasts, and blog posts. In this publication, Urban’s State and Local Finance Initiative has brought together the latest evidence-based research, data, and solutions with direct relevance for analysts charged with crafting...
Federal and state income taxes play an important role in providing income support for low-income households by administering refundable tax credits, such as the earned income tax credit (EITC). Using the Urban Institute’s Net Income Change Calculator (NICC), which provides state- and federal-...
April is the most important month of the year for individuals who owe federal and state income taxes and for governments that rely on income taxes as a major source of revenue. Because personal income tax receipts account for about 45 percent of federal government receipts and more than 33...
The State & Local Finance Initiative’s State Economic Monitor tracks economic-performance data across the states and the District of Columbia, highlighting differences in key indicators including employment, wages, housing, and taxes. This quarter’s report finds the unemployment rate fell in...
High net worth investors can reduce the cost of an investment in 29 states by claiming an "angel investor" tax credit. In most states, the credit is worth more than 25 percent of the investments and can be transferred to another taxpayer if it exceeds the investor's liability. States hope the...
The federal government and most states have per-unit gas taxes. Because they tax gallons purchased, and not a percentage of purchase price, revenues are falling across the country as Americans buy less gas. If states do not want to cut transportation projects they now have to increase tax rates...
When the Great Recession created unexpected budget deficits, many states used temporary tax increases to maintain revenues for vital government services. Because they are generally less disruptive than immediate spending cuts, temporary tax increases can be a useful tool for overcoming short-...
Coordinating Workforce and Economic Development under WIOA
This brief looks at the Workforce Innovation and Opportunity Act of 2014 (WIOA) and its emphasis on coordination between economic development and workforce development programs. In fact, one WIOA’s main purposes is to better align workforce and economic development systems, more tightly...
Governing with Tight Budgets
Changing demographics, technology, and inflation are creating an increasingly difficult environment for state budgets. An aging population puts more pressure on spending programs while reducing tax revenues from some sources. State sales tax revenue systems have not kept up as technology has...
The Growth Mirage: State Tax Cuts Do Not Automatically Lead to Economic Growth
Cuts in top state income taxes are intended to raise economic growth, but could instead force punishing spending cuts, as revenues fall and states confront borrowing constraints. Previous work shows no clear impact of state taxes on growth. In new research, we build on a widely cited study that...
Prepping for the New Session: End-of-Summer Reading for State Budget Analysts
Every year, the Urban Institute produces hundreds of reports, briefings, webcasts, and blog posts. In this publication, Urban’s State and Local Finance Initiative has brought together the latest evidence-based research, data, and solutions with direct relevance for analysts charged with crafting...
Federal and State Income Taxes and Their Role in the Social Safety Net
Federal and state income taxes play an important role in providing income support for low-income households by administering refundable tax credits, such as the earned income tax credit (EITC). Using the Urban Institute’s Net Income Change Calculator (NICC), which provides state- and federal-...
Federal Tax Policy Uncertainty and State Revenue Estimates
April is the most important month of the year for individuals who owe federal and state income taxes and for governments that rely on income taxes as a major source of revenue. Because personal income tax receipts account for about 45 percent of federal government receipts and more than 33...
State Economic Monitor: January 2015
The State & Local Finance Initiative’s State Economic Monitor tracks economic-performance data across the states and the District of Columbia, highlighting differences in key indicators including employment, wages, housing, and taxes. This quarter’s report finds the unemployment rate fell in...
Angel Investor Tax Credits
High net worth investors can reduce the cost of an investment in 29 states by claiming an "angel investor" tax credit. In most states, the credit is worth more than 25 percent of the investments and can be transferred to another taxpayer if it exceeds the investor's liability. States hope the...
Reforming State Gas Taxes
The federal government and most states have per-unit gas taxes. Because they tax gallons purchased, and not a percentage of purchase price, revenues are falling across the country as Americans buy less gas. If states do not want to cut transportation projects they now have to increase tax rates...
Temporary Taxes
When the Great Recession created unexpected budget deficits, many states used temporary tax increases to maintain revenues for vital government services. Because they are generally less disruptive than immediate spending cuts, temporary tax increases can be a useful tool for overcoming short-...