payroll tax

For Most Households, It’s About the Payroll Tax, Not the Income Tax

While policymakers obsess about the income tax, they often lose sight of an important detail: For two-thirds of households, the levy that matters most is the payroll tax. According to a new report by the Joint Committee on Taxation, the 80 million tax filers making $40,000 or less will collectively

April 2, 2015Howard Gleckman

Individual Taxes: TaxVox

A Payroll Tax Math Error Adds $5 Billion To The Deficit

Nothing gets lawmakers and pundits more outraged than government’s proverbial waste, fraud, and abuse. Nearly always, these stories involve spending. But taxes are hardly immune. One case of pure waste involves a simple math mistake that will cost the Treasury $5 billion in lost revenue over the

July 1, 2014Howard Gleckman

Individual Taxes: TaxVox

Taxing Employer-Sponsored Insurance Would Hike Social Security Benefits But Boost Federal Coffers

The tax subsidy for employer-sponsored health insurance is huge. Not only are the premiums exempt from income tax, they are also immune from Social Security payroll tax. The two subsidies combined will add more than $1.6 trillion to the deficit over the next five years alone. But because that

May 8, 2014Howard Gleckman

Federal Budget and Economy: TaxVox

Individual Income Taxes May Soon Generate Half of All Federal Tax Revenue

Over the next decade, the individual income tax will be the fastest growing source of federal revenue, according to new estimates by the Congressional Budget...

February 6, 2014Howard Gleckman

Individual Taxes: TaxVox

Eight in Ten U.S. Households Pay Social Security and Medicare Taxes

While relatively few low-income people pay federal income tax, a large and growing share owe Social Security and Medicare payroll taxes, according to new estimates...

September 12, 2013Howard Gleckman

Individual Taxes: TaxVox

IRS Recognizes Same-Sex Marriages, Regardless of Where Couples Live

Just two weeks ago, I discussed potential tax issues a same-sex married couple could face if they live in a state that doesn’t recognize their...

August 30, 2013Roberton C. Williams

Individual Taxes: TaxVox

An Opportunity to Really Fix Social Security

The White House has put out the word that President Obama’s budget will propose changing the way government adjusts benefits for Social Security and other...

April 9, 2013Howard Gleckman

Individual Taxes: TaxVox