Individual Taxes: Payroll

Maximum Pension Benefits

July 19, 2019
: Daily Deduction

More Budget Work To Be Done, More Questions To Be Asked

A deal on the “top line budget numbers.” Maybe.
July 19, 2019Renu Zaretsky
: Daily Deduction

Ratifying Treaties, Repealing A Tax, And Suing Over SALT

Senate ratifies four tax treaties, businesses are relieved.
July 18, 2019Renu Zaretsky
: TaxVox

That Stubborn Tax Gap

About 82 percent of individual and business taxes due are paid voluntarily and on time. But not all taxpayers pay all they owe. Thus, the...
July 17, 2019Robert A. Weinberger
: Daily Deduction

Shifting Tax Law, Shifting Tax Prep Products?

ProPublica: TurboTax charged for tax forms it previously included for free.
July 17, 2019Renu Zaretsky
Business Taxes: Brief

What are the Largest Business Tax Expenditures?

In this brief, we list the 10 major business tax expenditures with the largest revenue losses, as defined by the Office of Tax Analysis (OTA) of the US Treasury Department and the Congressional Joint Committee on Taxation (JCT). We provide a brief description of each provision and briefly summarize
July 17, 2019Frank SammartinoEric Toder
Individual Taxes: Brief

What are the Largest Nonbusiness Tax Expenditures?

In this brief we consider the largest nonbusiness tax expenditures in the individual income tax. We provide a description of these provisions, estimates of their cost and the distribution of their tax benefits across income groups, and briefly summarize their effects. We consider tax expenditures
July 17, 2019Frank SammartinoEric Toder
Federal Budget and Economy: TaxVox

Post TCJA Bonuses Were Mostly a Timing Shift, Not A Boost In Long-Term Worker Pay

A spike in announcements of bonus payments for workers followed the passage of the Tax Cuts and Jobs Act (TCJA) in December 2017, and President...
July 16, 2019Theo BurkeSteven M. Rosenthal
Business Taxes: TaxVox

The House Should Repair, Not Repeal, The ACA’s Cadillac Tax

The House is scheduled to vote Wednesday to repeal the 2010 Affordable Care Act’s Cadillac tax on generous employer-sponsored health insurance (ESI). The bill, which...
July 16, 2019Howard Gleckman
: Daily Deduction

Closing In On a Debt Ceiling Deal? Not so fast.

Mnuchin seems to think so. Pelosi does not.
July 16, 2019Renu Zaretsky
State and Local Issues: Research report

State Tax and Economic Review, 2018 Quarter 4

State Revenues Were Weak in The Fourth Quarter of 2018; But Revenue Outlook for FY 2019 Remains Positive
State government tax revenues from major sources declined in the fourth quarter of 2018 compared with the same quarter in 2017, mostly because of declines in state income tax revenues. The declines in income tax collection are partially attributable to the disappearing impact of incentives created
July 16, 2019Lucy Dadayan
: Daily Deduction

Repeal and a Deal (or No Deal)

The House will vote Wednesday on repealing the “Cadillac tax.”
July 15, 2019Renu Zaretsky
About 22% of individual income taxpayers claimed a deduction for mortgage interest paid in 2016. The share claiming this deduction ranges from 12% in South Dakota to 33% in Maryland. The Tax Cuts and Jobs Act will significantly reduce these figures.
July 15, 2019
Campaigns, Proposals, and Reforms: Brief

The Filer Voter Experiment: How Effective is Voter Registration at Tax Time?

The Filer Voter experiment, conducted in 2018, assessed the effectiveness of conducting voter registration drives at Volunteer Income Tax Assistance (VITA) sites for lower-income households in Cleveland and Dallas. The Filer Voter program doubled the likelihood of unregistered voters registering to
July 15, 2019Vanessa Williamson
: Daily Deduction

Europeans Push Ahead On Digital Taxation, Fed Warnings On The Debt Limit, And Fixing A Non-Problem

US displeasure notwithstanding, French lawmakers approved a digital services tax.
July 12, 2019Renu Zaretsky
Individual Taxes: TaxVox

The New W-4 Tax Withholding Form Is Coming Soon. But Why Is The IRS Even Bothering?

One day soon, the IRS will release its near-final version of the 2020 Form W-4 that workers are supposed to use to calculate their federal...
July 11, 2019Howard Gleckman
: Daily Deduction

Taxes, Trade Wars, and Tradeoffs

The Trump Administration says the French tech tax may be a trade violation.
July 11, 2019Renu Zaretsky
Individual Taxes: TaxVox

Most AMT Taxpayers Paid Lower Taxes After TCJA, Despite SALT Cap

A new Tax Policy Center analysis finds that the vast majority of households that paid the Alternative Minimum Tax (AMT) before the 2017 Tax Cuts...
July 10, 2019Leonard E. Burman
: Daily Deduction

Charitable Deductions, Rate Cuts, And Tolls

How much did the TCJA cut tax-deductible giving to charities?
July 10, 2019Renu Zaretsky
: Daily Deduction

Will The US Hit The Debt Limit Sooner Rather Than Later?

TIGTA finds poor IT management is costing the IRS billions.
July 9, 2019Renu Zaretsky
Individual Taxes: Distribution Tables by Income Level

T19-0031 - Effect of the 2017 Tax Act on Alternative Minimum Tax (AMT) Payers, Baseline Pre-2017 Tax Act Law, Distribution of Federal Tax Change by Expanded Cash Income Level, 2018

Table shows the distributional effect, by expanded cash income level in 2018, of the 2017 Tax Act (known informally as the Tax Cuts and Jobs...
July 8, 2019
Individual Taxes: Distribution Tables by Income Level

T19-0030 - Effect of the Major Provisions in the 2017 Tax Act on Alternative Minimum Tax (AMT) Payers, Tax Units with a Tax Increase or Cut, by Expanded Cash Income Level 2018, Baseline: Pre-2017 Tax Act Law

Table shows winners and losers by expanded cash income level in 2018 from the major provisions in the 2017 Tax Act (known informally as the...
July 8, 2019
: Daily Deduction

The House Files A Lawsuit, And Democrats Have More Tax Plans

Can the Sanders financial transactions tax raise trillions and cut speculation?
July 8, 2019Renu Zaretsky
In 2016, income from partnerships and S corporations, a form of "pass-through" income, totaled 27% of adjusted gross income (AGI) for those with AGI over $1 million, compared to 1% for those with AGI under $100,000.
July 8, 2019
State and Local Issues: TaxVox

Road Rage and Raising Revenue: Is It Time For States To Embrace Even Bigger Gas Tax Increases?

Michigan was one of 12 states that saw gas taxes increase on July 1. Its rate climbed by only 0.1 cent per gallon because it’s indexed monthly for inflation. In contrast, new legislation doubled gas tax rates in Illinois to 38 cents per gallon and raised the levy by 10.5 cents in Ohio. Can Michigan—and other states—go even bigger?
July 3, 2019Renu Zaretsky