Individual and Consumption Taxes

Gift Tax

Inflation and Europe’s Personal Income Taxes

With continued concerns over inflation, individuals may be wondering how their tax bills will be impacted. Less than half of OECD countries in Europe automatically adjust income tax brackets for inflation every year.

Idaho to Consider Flat Income Tax in Special Session

As Idaho attempts to further solidify its position as a growth-oriented, taxpayer-friendly state this special session, other states should look to its example and pursue similar reforms.

New Mexico and the Question of Tax Competitiveness

Every change to a state’s tax system makes its business tax climate more or less competitive compared to other states and makes the state more or less attractive to business.

Missouri Should Consider Flat Income Tax in Special Session

As Missouri legislators head into a special session, they should consider making a pro-growth change that the state is already so close to achieving: creating a flat income tax.

Beer Taxes by State, 2022

Tennessee, Alaska, Hawaii, and Kentucky levy the highest beer excise tax rates in the nation. How does your state compare?

IRS Is Raising More with Less, But New Funding Misses the Mark

The Inflation Reduction Act focused more on enforcement and hiring more auditors rather than programs that make it easier for taxpayers to comply with the code and the IRS to administer it.

Unpacking the State and Local Tax Toolkit: Sources of State and Local Tax Collections (FY 2020)

The mix of tax sources states choose can have important implications for both revenue stability and economic growth, and the many variations across states are indicative of the different ways states weigh competing policy goals.

The Tax Compliance Costs of IRS Regulations

In a pattern that has become all too common in recent decades, the newly enacted Inflation Reduction Act (IRA) added yet another layer of complexity to an already complex and burdensome federal tax code.

“Taxing Big Oil Profiteers Act” Risks Disincentivizing Production, Inventory

In response to high oil prices, Sen. Wyden has proposed raising taxes on oil and gas companies in three ways. His “Taxing Big Oil Profiteers Act” would create an additional 21 percent tax on so-called excess profits earned over 10 percent of revenues of oil companies with annual revenues over $1 billion; levy a tax on stock buybacks; and remove last-in, first-out (LIFO) tax treatment of inventory accounting.

Soda Tax

Recession

Arkansas’s Rate Reduction Acceleration

Arkansas recently became the 13th state to authorize an individual income tax rate reduction this year. This round of tax cuts accelerated reforms enacted eight months ago.

IRS Funding and Technology

The Internal Revenue Service (IRS) finds itself under fire often. Outdated technology, millions of unanswered calls, and cafeterias full of paper returns—it’s clear that America’s tax collector needs improvement. Jesse is joined by Courtney Kay-Decker and Jared Ballew, chair and vice chair (respectively) of the Electronic Tax Administration Advisory Committee (ETAAC). They discuss ETAAC’s annual report that lays out what the IRS is doing right, and what it’s doing wrong, as the agency continues to see its duties grow.

How to Think About IRS Tax Enforcement Provisions in the Inflation Reduction Act

The Inflation Reduction Act increases the IRS’s budget by roughly $80 billion over 10 years. The money is broken into four main categories—enforcement, operations support, business system modernization, and taxpayer services—as well as a few other small items such as an exploratory study on the potential of a free-file system.

FDA Ban on Flavored Cigars Could Cost $836 Million in Annual Excise Tax Revenue

The FDA’s proposal to ban flavored cigars would carry significant revenue implications for many state governments.

Japan’s Tax and Benefit System for Working Parents Isn’t Working

The Japanese tax and benefit system comes with trade-offs that policymakers must keep in mind when planning to reform the tax policy.

Does Your State Have a Marriage Penalty?

A marriage penalty exists when a state’s income brackets for married taxpayers filing jointly are less than double the bracket widths that apply to single filers. In other words, married couples who file jointly under this scenario have a higher effective tax rate than they would if they filed as two single individuals with the same amount of combined income.

Who Gets Hit by the Inflation Reduction Act Book Minimum Tax?

In dollar terms, the industries that would account for the largest book minimum tax liabilities are manufacturing, at $73.2 billion, followed by finance, insurance, and management at $46.9 billion.

Details & Analysis of the Inflation Reduction Act Tax Provisions

How will the Inflation Reduction Act taxes impact inflation, economic growth, tax revenue, and everyday taxpayers? See Inflation Reduction Act tax changes.