What are the sources of revenue for the federal government? Q.What are the sources of revenue for the federal government? A.About 50 percent of federal revenue comes from individual income taxes, 7 percent from corporate income taxes, and another 36 percent from payroll taxes that fund social insurance programs (figure 1). The rest comes from a mix of sources. Read more about What are the sources of revenue for the federal government?
What are tax expenditures and how are they structured? Q.What are tax expenditures and how are they structured? A.Tax expenditures are special provisions of the tax code such as exclusions, deductions, deferrals, credits, and tax rates that benefit specific activities or groups of taxpayers. Read more about What are tax expenditures and how are they structured?
How did the TCJA affect tax expenditures? Q.How did the TCJA affect tax expenditures? A.The TCJA reduced some tax expenditure provisions, eliminated others, and introduced and expanded still others. In addition to these direct changes in tax expenditure provisions, an increase in the standard deduction and lower individual and corporate tax rates reduced the number of taxpayers using tax expenditure provisions and the value of the tax benefits they receive. Read more about How did the TCJA affect tax expenditures?
