Institute on Taxation and Economic Policy (ITEP)

Alabama

State Rundown 9/7: Labor Day Week Provides Sobering Reminder of Steps Forward, Back

Though Labor Day has passed, advocates on the ground in states across the country are continuing to uphold the spirit of the labor movement...

State Rundown 7/27: It’s (Sales Tax) Holiday Season, But Who’s Really Celebrating?

It’s the holiday season – well, the sales tax holiday season, that is. But after taking a closer look, you may notice that there is little to celebrate...

Sales Tax Holidays: An Ineffective Alternative to Real Sales Tax Reform

Lawmakers in many states have enacted “sales tax holidays” (20 states will hold them in 2022) to temporarily suspend the tax on purchases of clothing, school supplies, and other items. These holidays may seem to lessen the regressive impacts of the sales tax, but their benefits are minimal while their downsides are significant—particularly as lawmakers have sought to apply the concept as a substitute for more meaningful, permanent reform or arbitrarily reward people with specific hobbies or in certain professions. This policy brief looks at sales tax holidays as a tax reduction device.

New ITEP Report Examines the Path to Equitable Tax Policy in the South

“From the inception of the emerging American nation, the South is a central battleground in the struggles for freedom, justice, and equality. It is the location of the most intense repression, exploitation, and reaction directed toward Africans Americans, as well as Native Americans and working people generally. At the same time the South is the […]

Creating Racially and Economically Equitable Tax Policy in the South

The South's negative outcomes on measures of wellbeing are the result of a century and a half of policy choices. Lawmakers have many options available to make concrete improvements to tax policy that would raise more revenue, do so equitably, and generate resources that could improve schools, healthcare, social services, infrastructure, and other public resources.

State Rundown 4/13: Recent State Budgets Prove Not All Tax Cuts are the Same

Two prominent blue states made headlines this past week when they passed budget agreements that include relief for taxpayers, and fortunately, the budget plans don’t include costly tax cuts that primarily benefit the wealthy...

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State Rundown 4/6: Late-Session Surprises Pt. 2

April 6, 2022 • By ITEP Staff

State Rundown 4/6: Late-Session Surprises Pt. 2

Last week we highlighted how several states were pushing through regressive tax cuts as their legislative sessions are coming to a close. Well, this week many of those same states took further actions on those bills and it’s safe to say we’re even less impressed than before...

Bloomberg: Did You Pay Your ‘Fair Share’ of Federal Income Tax This Year?

March 31, 2022

And according to the Institute on Taxation and Economic Policy, the impact would have a definite geographic tilt. The states where more than 40% of residents would face tax increases are largely in the South, including Mississippi, West Virginia, Arkansas, Louisiana, Alabama, Kentucky, Oklahoma, Georgia, New Mexico, South Carolina, and Florida. read more

State Rundown 3/16: The Scramble to Curb Rising Gas Prices is On

Rising gas prices have lawmakers around the country searching for ways to ease the pressure on consumers and almost half the states are considering reducing or temporarily repealing their gas tax, but another idea is taking hold...

New 50-State Analysis: Poorest Two-Fifths Would Bear the Brunt of Sen. Rick Scott’s Proposed Tax Increase

“Billionaires are getting richer, and some of them are altogether avoiding taxes or paying a tiny percentage relative to their income and wealth. The 2017 tax law further worsened inequality by giving huge tax breaks to the rich. It’s inconceivable that a lawmaker would propose to single out the most vulnerable households for higher taxes.” --Steve Wamhoff

State-by-State Estimates of Sen. Rick Scott’s “Skin in the Game” Proposal

A proposal from Sen. Rick Scott would increase taxes for more than 35% of Americans, with the poorest fifth of Americans paying 34% of the tax increase.

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State Rundown 3/2: State Tax News When You Need It

March 2, 2022 • By ITEP Staff

State Rundown 3/2: State Tax News When You Need It

ITEP is happy to announce the launch of our new State Tax Watch page, where you can find out about the most up-to-date tax proposals and permanent legislative changes happening across the country...

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State Rundown 2/23: Temporary Surplus, Permanent Cuts

February 23, 2022 • By ITEP Staff

State Rundown 2/23: Temporary Surplus, Permanent Cuts

Several state legislatures are continuing to push ahead this year with significant tax cut packages that are regressive and would dramatically reduce revenues and leave states in a bad position should they experience another unexpected economic shock...

State Rundown 2/16: Spending Priorities Emerge as the Votes Are Counted

State lawmakers have been busy working out deals and negotiating how best to use excess revenues, and as the votes are beginning to come in, spending priorities are becoming clearer...

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State Rundown 2/10: Dems Also Set Sights on Tax Cuts

February 10, 2022 • By ITEP Staff

State Rundown 2/10: Dems Also Set Sights on Tax Cuts

While record state revenue surpluses have led to big pushes in red states to make unnecessary permanent income and corporate tax cuts, Democrats are also getting in on the tax-cut mania...

Democracy Now!: Alabama Amazon Workers Vote in 2nd Union Election as Amazon Dodges $5 Billion in Taxes

February 10, 2022

Meanwhile, a new report found Amazon was able to dodge over $5 billion in federal income taxes in 2021. Amazon reported record revenue of $35 billion last year but benefited from a federal income tax rate of just 6%, thanks to corporate tax breaks. The report was issued by the Institute on Taxation and Economic […]

Alabama Arise: Eliminating State Grocery Tax Would Make Life Better for Alabama Families

February 7, 2022

Two bills in the 2022 regular session would end the state grocery tax while protecting school funding. The graph below shows how millions of Alabamians would benefit. Untaxing groceries quickly and responsibly would boost economic and food security for all Alabamians. That means replacing revenue for public schools in a way that doesn’t harm struggling […]

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State Rundown 2/2: The First Tax Cut Domino Falls…

February 2, 2022 • By ITEP Staff

State Rundown 2/2: The First Tax Cut Domino Falls…

One-time payments have become a common theme around the country, as Idaho is one of roughly eleven states with plans to provide tax relief in a similar fashion...

State Rundown 1/26: States Offering Preview of Tax Themes and Trends for 2022

Governors and legislators are beginning to settle on and advance tax bills that could drastically shape the future of their states and several trends and themes are beginning to emerge...

State Rundown 1/20: Governors Eyeing Tax Cuts in Yearly Addresses

A common theme is emerging out of states, as governors around the U.S. begin the year with their annual state speeches, and the news does not bode well for long-term growth and sustainable budgets...

State Rundown 1/13: The Tax Cuts Cometh, But There Is a Better Way

As expected, with the start of many new legislative sessions around the country, lawmakers have introduced a slew of tax cut plans following better-than-expected budget outlooks that have, so far, weathered the impact of the pandemic...

State Income Taxes and Racial Equity: Narrowing Racial Income and Wealth Gaps with State Personal Income Taxes

10 state personal income tax reforms that offer the most promising routes toward narrowing racial income and wealth gaps through the tax code.

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State Rundown 9/15: It’s a Little Too Quiet…

September 15, 2021 • By ITEP Staff

State Rundown 9/15: It’s a Little Too Quiet…

Though we can’t fault anyone for being distracted by the major stories of the day, we at ITEP remain committed to keeping you up to date on what’s happening in the tax world around you...

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State Rundown 9/1: Labor Day Edition

September 1, 2021 • By ITEP Staff

State Rundown 9/1: Labor Day Edition

Labor Day is around the corner and in the spirit of celebrating the achievements of workers around the country, we here at ITEP want to call attention to the states (and territories) that are using tax policy to support workers and residents alike...

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State Rundown 8/18: End of Summer Tax Update

August 18, 2021 • By ITEP Staff

State Rundown 8/18: End of Summer Tax Update

Summer is quickly (and sadly) coming to an end and if you’ve been away enjoying the great outdoors or off the grid, we’re here to help keep you up to date on what’s been happening on the tax front around the country...