tax reform

Obama's Failure to Kill 529 Plans May Say Less About Tax Reform Than You Think

After President Obama proposed, and rapidly abandoned, a plan to curb the tax advantages of Sec. 529 college savings accounts, several wise observers, including my friend David Wessel at Brookings, saw an object lesson for broad-based tax reform. To wit: If lawmakers can’t ditch a single $1 billion

January 30, 2015Howard Gleckman

Federal Budget and Economy: TaxVox

Is Obama Closing Retirement Savings Loopholes or Just Curbing Congress’ Generosity?

In his upcoming budget, President Obama will propose to strip away the “loopholes” that permit wealthy individuals to accumulate large amounts in tax-favored retirement plans. He would prohibit a taxpayer from contributing any more to IRAs or other qualified retirement plans once his or her

January 28, 2015Steven M. Rosenthal

Federal Budget and Economy: TaxVox

Is Dynamic Scoring of Tax Bills Ready For Prime Time?

The House has instructed the Joint Committee on Taxation and the Congressional Budget Office to factor in the macroeconomic effects of tax law changes when calculating the official budget score of revenue bills. But are existing models up to the task of what’s commonly called dynamic scoring? A

January 26, 2015Howard Gleckman

Individual Taxes: TaxVox

A Look at the Territorial Tax Systems in Four Countries Finds No Magic Bullets

It is an article of faith among many tax reformers that the U.S. should shift from a worldwide tax system to a territorial regime in which U.S.-based multinational corporations pay U.S. tax only on their domestic income. Such a step would reduce or eliminate tax on the dividends these firms receive

January 22, 2015Howard Gleckman

: TaxVox

Taxing the Rich: It’s a Plan Abroad, Too

The State of the Union: Tax reform depends on where you are sitting. In his State of the Union Address last night, President Obama called on Congress to address wealth inequality through the tax code, largely by increasing the capital gains tax and imposing a bank tax to fund tax relief for middle-

January 21, 2015Renu Zaretsky

Federal Budget and Economy: TaxVox

The Tax Reform Gap Between Obama and the GOP is Widening

In his state of the union address, President Obama laid out his vision for the tax code. Earlier in the day , in a speech to the Chamber of Commerce, Senate Finance Committee chair Orrin Hatch (R-UT) described his. They are not only on different planets. They inhabit different galaxies. Obama wants

January 20, 2015Howard Gleckman

Individual Taxes: TaxVox

What To Make of the Senate Finance Committee’s Tax Reform Workgroups

The Senate Finance Committee has created five bipartisan working groups to develop ideas for comprehensive tax reform by the end of May. It is a good idea. But it is unlikely to accelerate the panel’s timetable for producing legislation. The task forces won't develop many new ideas. Let’s be honest

January 15, 2015Howard Gleckman

Individual Taxes: TaxVox

House GOP Leadership Would Require Dynamic Scoring of Some Tax Bills. Will It Matter?

Last night, the House Republican leadership proposed new rules that would require the Joint Committee on Taxation and the Congressional Budget Office to incorporate macroeconomic effects of “major” legislation into their official budget estimates. But there may be less to these new rules for so-

December 24, 2014Howard Gleckman

Campaigns, Proposals, and Reforms: TaxVox

Tax Policy in 2014: Two Developments That May Set The Table For the Future

At first glance, 2014 seemed like a tax policy wasteland, but two developments may have set the stage for important future initiatives. A wave of tax-driven corporate inversions showed one reason why tax reform is necessary. A detailed plan by House Ways & Means Committee chairman Dave Camp (R-

December 22, 2014William G. Gale

Federal Budget and Economy: TaxVox

Magical Thinking on Tax Reform

Everybody loves the idea of tax reform. And tax reform can be very good policy. But advocates often turn to magical thinking about how good tax reform can be, and a recent column by George Will offers two examples of this problem. First, Will writes that “if America’s long-term economic growth [

December 18, 2014William G. Gale