A bipartisan group of 32 House lawmakers banded together to form the “SALT Caucus,” demanding elimination of the SALT cap. None of their arguments in favor of repeal change the fact that it would primarily benefit the rich and, according to new research, exacerbate racial income and wealth disparities.
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blog April 20, 2021 SALT Cap Repeal Would Worsen Racial Income and Wealth Divides
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report April 20, 2021 Not Worth Its SALT: Tax Cut Proposal Overwhelmingly Benefits Wealthy, White Households
A previous ITEP analysis showed the lopsided distribution of SALT cap repeal by income level. The vast majority of families would not benefit financially from repeal and most of the tax cuts would flow to families with incomes above $200,000.
This report builds on that work by using a mix of tax return and survey data within our microsimulation tax model to estimate the distribution of SALT cap repeal across race and ethnicity. It shows that repealing the SALT cap would be the latest in a long string of inequitable policies that have conspired to create the vast racial income and wealth gaps that exist today.
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blog April 19, 2021 Nike’s Tax Avoidance Response Does not Dispute It Paid $0 in Federal Income Tax
It was (allegedly) P.T. Barnum who first said “there’s no such thing as bad publicity.” But the public relations professionals at the Nike Corporation clearly disagree with this maxim. Last week, after multiple media outlets, including the New York Times, wrote about ITEP’s conclusion that Nike avoided federal corporate income taxes under the Trump tax law, the company contacted these news organizations to… change the subject.
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ITEP Work in Action April 15, 2021 Policy Matters Ohio: House Budget chooses tax cuts over more support for key public programs
The 2022-23 state budget presents Ohio lawmakers with an opportunity to rebuild communities so all people, no matter what they look like or how much money they have, can thrive… -
ITEP Work in Action April 15, 2021 California Budget & Policy Center: Promoting Racial Equity Through California’s Tax and Revenue Policies
Legacies of historical racist policies and ongoing discrimination in areas such as education, employment, and housing have barred many Californians of color from economic opportunities. As a result, Californians of… -
media mention April 15, 2021 Jacobin: Never Trust a CEO Who Says They Want to Help
Meanwhile, at least twelve corporate members of the Business Roundtable paid nothing in federal taxes last year, according to the advocacy group Patriotic Millionaires’ review of data compiled by the… -
media mention April 15, 2021 Washington Post: Biden proposals may not guarantee all Fortune 500 corporations pay federal income taxes, experts say
Of the 55 corporations that did not pay federal income taxes in 2020, only five had more than $2 billion in net income, according to the report by the Institute… -
media mention April 15, 2021 Washington Post: Opinion: Americans are liberals on taxes, living under a conservative system
When you combine all the kinds of taxes people pay, you see the system is almost flat. As this report from the Institute on Taxation and Economic Policy shows, in… -
media mention April 15, 2021 Los Angeles Times: Column: California Democrats have a chance to flex some muscle and work to restore deductions for taxpayers
Standard deductions were nearly doubled and so were child credits. Importantly for many upper-middle-class Californians, the alternative minimum tax was significantly lowered. The Institute on Taxation and Economic Policy reports… -
ITEP Work in Action April 14, 2021 NC Policy Watch: Some simple truths about the taxes corporations pay and Biden’s proposal blow the whistle on them
Discovery No. 1 one is that almost no major U.S. corporation, certainly not those that do business overseas, actually pays the 21% corporate tax rate, set by law. In fact,… -
media mention April 14, 2021 The News-Gazette: Jim Dey | Once scourge of rich, governor’s now their defender
That’s one reason why, in his letter to Biden, Pritzker & Co. ignored higher earners, complaining that “middle class Americans are struggling under this federal tax burden.” That’ s just… -
media mention April 14, 2021 City & State (NY): Correcting disinformation about the excluded workers fund
Technically, no employee in New York pays into unemployment as it’s a tax on employers, but their employment is what leads to the pay-ins. While it’s impossible to know whether… -
ITEP Work in Action April 14, 2021 NC Policy Watch: New report: NC tax policy promotes racial inequities in numerous ways
North Carolina’s tax code and budget are wrought with such policy choices, which can result in racist outcome that worsen barriers to well-being for people and communities of color, according… -
media mention April 14, 2021 Nonprofit Quarterly: Pressure to Tax Corporations Rises as Infrastructure Gaps Come into Full View
The bottom line: As research conducted by the Institute on Taxation and Economic Policy (ITEP) illustrates, at least 55 major US corporations that had a combined total of $40.5 billion… -
media mention April 14, 2021 420 Intel: Considering Opportunities for the Upcoming Federal Taxation of Cannabis
According to the Institute on Taxation and Economic Policy, “state and local excise collections on retail cannabis sales surpassed $1 billion for the first time in 2018.” This rapid growth… -
media mention April 14, 2021 Common Dreams: Jayapal Calls for Crackdown on Wealthiest After IRS Chief Says Tax Evasion Costs US $1 Trillion a Year
Furthermore, another recent study by the Institute on Taxation and Economic Policy (ITEP) showed that 55 U.S. corporate giants paid $0 in federal income taxes last year, and 26 of… -
media mention April 14, 2021 The Cap Times: Plain Talk: It’s time to fix America’s infrastructure — and make corporations help pay for it
The Institute on Taxation and Economic Policy, a Washington-based research group that keeps tabs on such things, reported earlier this month that at least 55 of America’s largest corporations paid… -
media mention April 14, 2021 Wealth Management: What CRE Opportunities Await if the American Jobs Plan is Enacted?
Some in corporate America are critical of Biden’s proposed plan because it would be paid for raising the corporate tax rate from 21 percent to 28 percent. Nevertheless, corporations would… -
media mention April 14, 2021 Willamette Week: Nike’s Tax Bill in Oregon Is a Secret. We Asked Three Analysts to Make an Estimate.
The breakdown of that percentage among states is impossible to know, [Matthew Gardner, ITEP Senior Fellow] says, especially considering not every state has the same single-factor corporate tax structure that… -
ITEP Work in Action April 13, 2021 Arizona Center for Economic Progress: Arizona’s regressive tax policy contributes significantly to economic and racial injustice
Tax policy plays a role in the fight for economic and racial justice. The type of tax and how it is structured matters. A new report issued by the Institute… -
media mention April 13, 2021 The Commercial Appeal: FedEx CEO: Don’t raise corporate taxes to pay for Biden’s infrastructure plan
The Institute on Taxation and Economic Policy published the report earlier this month, saying FedEx had an effective tax rate of minus -12.8% from 2018 to 2020. The report cited… -
media mention April 13, 2021 CNBC: New $3,000 Child Tax Credit to Start Payments in July, IRS Says
About 83 million children live in households that would benefit from the expansion of the child tax credit, according to a study from the Institute on Taxation and Economic Policy.… -
ITEP Work in Action April 13, 2021 North Carolina Justice Center: State Tax Policy Is Not Race Neutral
North Carolina’s tax code and budget are wrought with such policy choices, which can result in racist outcomes that worsen barriers to well-being for people and communities of color, according… -
blog April 8, 2021 What to Expect from Biden and Congressional Democrats on Tax Increases for Individuals
The Biden administration has already provided details on its corporate tax proposals and in the next couple of weeks is expected to propose tax changes for individuals. Meanwhile, congressional Democrats have some ideas of their own. What should we expect?
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report April 8, 2021 National and State-by-State Estimates of President Biden’s Campaign Proposals for Revenue
During his presidential campaign, Joe Biden proposed to change the tax code to raise revenue directly from households with income exceeding $400,000. More precisely, Biden proposed to raise personal income taxes on unmarried individuals and married couples with taxable income exceeding $400,000, and he also proposed to raise payroll taxes on individual workers with earnings exceeding $400,000. Just 2 percent of taxpayers would see a direct tax hike (an increase in either personal income taxes, payroll taxes, or both) if Biden’s campaign proposals were in effect in 2022. The share of taxpayers affected in each state would vary from a low of 0.6 percent in West Virginia to a high of 3.5 percent in New Jersey.