: Daily Deduction

Biden Will Have Hard Work Ahead

President-elect Biden’s Treasury will have to hit the ground running.
November 30, 2020Renu Zaretsky
Income from capital gains made up about 8% of aggregate adjusted gross income (AGI) in 2018, but this varied by income level. For those with AGI over $10 million, capital gains accounted for nearly half of their income.
November 30, 2020
Individual Taxes: TaxVox

How Much Will Future Retirees Receive in Lifetime Social Security and Medicare Benefits?

Typical millennial couples born in 1995 who retire in 2060 are scheduled to receive about $2.2 million in lifetime Social Security and Medicare benefits.
November 24, 2020C. Eugene SteuerleErald Kolasi
Campaigns, Proposals, and Reforms: TaxVox

Treasury Pick Yellen Likes Carbon Taxes and More Pandemic Relief, But Not The TCJA

Janet Yellen, president-elect Joe Biden’s pick for Treasury Secretary, would come to the job with largely predictable views on tax policy for a mainstream, center-left economist.
November 24, 2020Howard Gleckman
Federal Budget and Economy: Brief

The Federal Budget Outlook After COVID-19

This policy brief shows that the COVID-19 pandemic and associated policy responses substantially raised federal deficits, but only on a temporary basis. We project that the debt-to-GDP ratio, currently 98 percent, will rise to 190 percent in 2050 under current law, compared to a pre-COVID baseline
November 23, 2020Alan J. AuerbachWilliam G. Gale
: Daily Deduction

For New Covid-Relief, Return Old Relief?

Treasury Secretary Mnuchin shuts down five emergency Federal Reserve lending programs.
November 23, 2020Renu Zaretsky
Overall, the share of US families with education loan debt went from 9% in 1989 to 21% in 2019. About 30% of Black families had education loan debt in 2019, compared with 20% of White families and 14% of Latino families.
November 23, 2020
State and Local Issues: TaxVox

Improving State Tax Collections Don’t Let Congress Off the Hook on COVID-19 Relief

As the lame duck Congress considers further stimulus for an economy that is rebounding but still deeply troubled , Senate Majority Leader Mitch McConnell (R-KY)...
November 19, 2020Tracy Gordon
State and Local Issues: TaxVox

Why Do States Tax Illegal Drugs?

Say you came into possession of some illegal drugs. What’s your next move? According to some states, you should immediately pay the state’s tax on...
November 18, 2020Nikhita AiriAravind Boddupalli
Individual Taxes: Research report

Social Security & Medicare Lifetime Benefits & Taxes: 2020

This report presents updated figures in 2020 dollars for the lifetime benefits earned and the lifetime taxes paid by hypothetical workers participating in Social Security and Medicare. For a single male earning average wages every year and retiring in 2020 at age 65, lifetime Social Security and
November 17, 2020Erald KolasiC. Eugene Steuerle
Campaigns, Proposals, and Reforms: TaxVox

Biden Proposed Raising Social Security Payroll Taxes By $740 Billion…And Still Got Elected President

An amazing thing happened in this year’s presidential election. A major party candidate proposed raising Social Security payroll taxes. And won.
November 17, 2020Howard Gleckman
: TaxVox

State Ballot Initiative Results: Tax Cuts for Some, Tax Hikes for Others, and Marijuana Taxes For All

In addition to that other election you might have followed last week, Americans voted on a whole bunch of state tax measures . And while...
November 16, 2020Richard C. Auxier
: Daily Deduction

Planning Continues for the Post-Trump Future

Who will Biden choose as Treasury Secretary?
November 16, 2020Renu Zaretsky
41 states and DC have broad-based individual income taxes. Top marginal tax rates range from 2.9% in North Dakota to 13.3% in California. Arizona voters just approved a ballot initiative to increase their top rate from 4.5% to 8.0%.
November 16, 2020
: Daily Deduction

New Taxes, No New Taxes

Connecticut workers will ring in the New Year with a new tax.
November 13, 2020Renu Zaretsky
Federal Budget and Economy: Virtual Event

The Prescription: Fiscal Policy for the COVID-19 Economy with Mark Mazur

This week’s guest: Mark J. Mazur , Robert C. Pozen director of the Urban-Brookings Tax Policy Center, will discuss what the 2020 elections will mean...
November 12, 2020
: Daily Deduction

December Is Just Around the Corner

Senate releases spending bills, hopes for a December deal.
November 12, 2020Renu Zaretsky
: Research report

A Synthetic Supplemental Public-Use File of Low-Income Information Return Data: Methodology, Utility, and Privacy Implications

The Statistics of Income division of the Internal Revenue Service releases an annual public-use file of individual income tax returns that is invaluable to tax analysts in government agencies, nonprofit research organizations, and the private sector. However, the Statistics of Income division has
November 11, 2020Claire BowenVictoria L. BryantLeonard E. BurmanSurachai KhitatrakunGraham MacDonaldRobert McClellandPhilip StallworthKyle UeyamaAaron R. WilliamsNoah Zwiefel
: Daily Deduction

The ACA May Live; Biden Names His Treasury Transition Team Leaders.

Is the Affordable Care Act safe from SCOTUS repeal?
November 11, 2020Renu Zaretsky
: Daily Deduction

The Biden Tax Agenda, Tariffs, And Commuters

The Biden tax agenda may not be DOA.
November 10, 2020Renu Zaretsky
Campaigns, Proposals, and Reforms: TaxVox

Could a Divided Congress Approve Biden’s Ambitious Tax Agenda? Maybe More Than You Think

The conventional wisdom is that President-elect Joe Biden’s ambitious tax agenda will die in a GOP Senate, but some elements could pass.
November 9, 2020Howard Gleckman
: Daily Deduction

What Will The Election Mean For Tax Policy?

For now, more divided government. The tax debates will continue.
November 9, 2020Renu Zaretsky
Two states (Colorado and Oregon) had ballot initiatives to significantly increase excise tax rates on cigarette and tobacco products. Voters in both states approved the tax increases and also approved taxing e-cigarettes.
November 9, 2020
Federal Budget and Economy: Brief

Sine Qua Non: A Healthy Nation Requires Real Budget Constraints in All Government Health Programs

Every government health program should operate under the same budget constraint that applies to other government programs. Failure to do so represents bad budgeting and economic, social, and health policy; redistributes income in perverse ways; and makes health care allocation extremely inefficient
November 6, 2020C. Eugene Steuerle
Campaigns, Proposals, and Reforms: TaxVox

TPC Revises Its Revenue Estimate of Biden’s Tax Plan Downward to $2.1 Trillion Over 10 Years

The Tax Policy Center has revised its analysis of former Vice President Joe Biden’s tax plan. TPC’s new analysis finds Biden’s tax proposals would raise...
November 6, 2020Mark J. Mazur