What's New
-
blog
October 17, 2018
Low-Tax States Are Often High-Tax for the Poor
A new ITEP analysis reveals that many states traditionally considered to be “low-tax states” are actually high-tax for their poorest residents. The “low tax” label is typically assigned to states that either lack a personal income tax or that collect a comparatively low amount of tax revenue overall. But a focus on these measures can cause lawmakers to overlook the fact that state tax systems impact different taxpayers in very different ways, and that low-income taxpayers often do not experience these states as being even remotely “low tax.”
-
report
October 11, 2018
Race, Wealth and Taxes: How the Tax Cuts and Jobs Act Supercharges the Racial Wealth Divide
A newly released report by Prosperity Now and the Institution on Taxation and Economic Policy, Race, Wealth and Taxes: How the Tax Cuts and Jobs Act Supercharges the Racial Wealth Divide, finds that the TCJA not only adds unnecessary fuel to the growing problem of overall economic inequality, but also supercharges an already massive racial wealth divide to an alarming extent.
-
blog
December 13, 2018
ITEP's 12 Days of Tax Policy
Sometimes policy developments move at a rapid-fire pace, so we’re taking time over the next 12 days to reflect on some of the most significant federal and state tax policy developments and/or tax policy analyses that happened this year.
-
blog
December 12, 2018
End-of-Year Tax Measure Would Give Deficit-Financed Tax Cuts to Wealthy Families and Corporations
Outgoing Ways and Means Chairman Rep. Kevin Brady (R-TX) today introduced legislation that includes $80 billion in tax cuts that are unpaid for and largely benefit the wealthy. The bill would, among its numerous provisions, expand retirement and education savings programs that offer very little value to low-income families, delay the Health Insurance Tax for an additional two years, and delay the Medical Device Tax for an additional five years.
-
blog
December 7, 2018
Joint Letter: End the Tax Extenders Once And For All
A joint letter to Congressional leadership and the heads of the taxwriting committees making the case that it is time to end the practice of enacting tax policy one year at a time.
-
blog
December 7, 2018
Morgan Stanley Report Confirms Tax Cut Promises Made Are Promises Unkept
Almost a year after lawmakers hastily enacted the Tax Cuts and Jobs Act, evidence continues to mount that it is providing far more tax cuts… -
press release
December 6, 2018
2017 Tax Law Leaves More Wealthy Heirs with Tax-Free Inheritances
Media contact A tiny fraction of estates will be subject to the tax in 2018 The Tax Cuts and Jobs Act drastically reduced the number…
Who Pays? Sixth Edition
Poorest 20 percent pay a 50 percent higher effective state and local tax rate than the top 1 percent ITEP’s sixth edition of Who Pays? A Distributional Analysis of the Tax System in All 50 States finds that most state and local tax systems continue to tax low- and middle-income households at higher rates than the wealthy.
Federal Tax Cuts in the Bush, Obama, and Trump Years
Since 2000, tax cuts have reduced federal revenue by trillions of dollars and disproportionately benefited well-off households. From 2001 through 2018, significant federal tax changes have reduced revenue by $5.1 trillion, with nearly two-thirds of that flowing to the richest fifth of Americans.
A Fair Way to Limit Tax Deductions
Repealing the 2017 tax law’s cap on SALT deductions without replacing it with a different type of limit would pile one bad policy on top of the other, annually add $88B to the $2T deficit-financed tax law, and mostly benefit the wealthy, new report finds.
Tax Cuts 2.0 Resources
The $2 trillion 2017 Tax Cuts and Jobs Act (TCJA) includes several provisions set to expire at the end of 2025. GOP leaders have introduced a bill informally called “Tax Cuts 2.0” or “Tax Reform 2.0,” which would make the temporary provisions permanent. The Institute on Taxation and Economic Policy (ITEP) has state-by-state analyses as well as other resources that explain this legislation and its consequences.
ITEP Resources on the Proposed SALT Workaround Regulations
As taxpayers across the country find ways to circumvent the cap on SALT deductions, the IRS has proposed regulations to end "charitable donations" in the name of tax avoidance. ITEP expert Carl Davis shares resources for what you need to know about the SALT cap workarounds.
Impact
Whether it’s at the state or federal level, ITEP produces careful research and in-depth analyses of tax policies, and provides a voice for working people in tax policy debates. State advocates, policymakers and media often use our work to inform public discourse on current and proposed tax policies.
Expertise
Federal Policy
ITEP’s federal policy resources provide quantitative and qualitative research and analysis on current tax policies, proposals, and reform options. Its distributional analyses highlight how tax proposals will affect low-income, middle-class and wealthy Americans nationally and in all 50 states.
Learn more about our Federal Policy work
State Policy
State taxes pay for essential public services, from education to health care. But the ideal design of a tax system is complicated. ITEP’s state policy resources offer insights into central issues, including the impact of state tax systems on individuals, families, and businesses. Its work also analyzes the sustainability of revenue sources over time.
Learn more about our State Policy work
Corporate Tax Research
ITEP’s corporate tax research examines the tax practices of Fortune 500 companies. Besides its corporate study on average effective tax rates paid by the nation’s largest, most profitable corporations, ITEP produces research on subjects such as offshore cash holdings, tax haven abuse, executive stock options and other tax loopholes.
Expert's View
The truth is, if lawmakers truly wanted to craft a tax overhaul that would benefit working people most, they would have started from fundamentally different principles and developed policies that would provide true tax relief for all working families while shutting down favorable tax treatment for rich people.
