
June 26, 2024
“Here’s the truth Republicans never tell you: California is not a high tax state,” Gov. Gavin Newsom declared Tuesday in his taped State of the State address.
June 26, 2024 • By Carl Davis, Erika Frankel
The report was produced in partnership with the Center on Budget and Policy Priorities and co-authored by CBPP’s Deputy Director of State Policy Research Samantha Waxman.[1] Click here to use our State Mansion Tax Estimator A historically large share of the nation’s wealth is concentrated in the hands of a few, a reality glaring in […]
This week, it was the best of times or, in some cases, the worst of times for tax policy in two different states...
Legislative sessions across the country are still very much in for summer, which means more pencils, more budgets, and more tax plans...
May 30, 2024 • By Jon Whiten
While there is plenty of room to expand Direct File at the federal level, states can take matters into their own hands and bring this benefit to their residents by opting into the program.
May 20, 2024
The Sunshine State has become a magnet for billionaires seeking tax relief. Among the latest to join the trend is Amazon founder Jeff Bezos, who has recently expanded his real estate holdings in Miami’s exclusive Billionaire Bunker area. Bezos’ acquisitions include three properties, bringing his total investment in the neighborhood to $237 million.
May 17, 2024
Depending on where you fall on the income scale, California may not actually be that high tax of a state. For many in the middle class and below, California may let you keep more of your hard-earned income than many other states, according to a new study, “Who Pays” from the Institute on Taxation and Economic Policy (ITEP). While California has the highest marginal tax rate in the nation at 13.3%, only some households pay this rate on their income. That doesn’t stop so-called low-tax states like Texas and Florida from blasting the tax policy of the Golden State.
There are a variety of factors that affect teacher pay. But one often overlooked factor is progressive tax policies that allow states to raise and provide the funding educators and their students deserve.
Uncertainty abounds in state tax debates lately...
This week, special sessions with major tax implications are in the air...
May 9, 2024 • By Eli Byerly-Duke
As Iowa lawmakers change the state’s graduated personal income tax to a single flat rate, they are designing a state tax code where the rich will pay a lower rate overall than families with modest means.
May 1, 2024
Whether it be that all Californians surf, live by the beach or only vote blue, there are a lot of assumptions about residents of the Golden State. Yet a new report is challenging one of the most widely held belief – that Californians shoulder the nation’s highest tax burdens. Read more.
April 25, 2024
Maybe California is not such a high tax state after all — at least for lower income families. “For families of modest means, California is not a high tax state,” says a new study from the Institute on Taxation and Economic Policy, a liberal Washington research group. Read more.
April 24, 2024
Florida Policy Institute (FPI) and the Institute for Taxation and Economic Policy (ITEP) released a study today that found California’s tax system is fairer than Florida’s.
April 24, 2024 • By Brakeyshia Samms
In his new book, The Black Tax: 150 Years of Theft, Exploitation, and Dispossession in America, Professor Andrew Kahrl walks readers through the history of the property tax system and its structural defects that have led to widespread discrimination against Black Americans.
April 17, 2024 • By ITEP Staff
Happy (belated) Tax Day!
Key Findings For families of modest means, California is not a high-tax state. California taxes are close to the national average for families in the bottom 80 percent of the income scale. For the bottom 40 percent of families, California taxes are lower than states like Florida and Texas. The highest earners usually pay higher […]
April 15, 2024
In 2010, as California was moving forward with plans to raise taxes sharply on million-dollar earners, opponents issued dire warnings that the hike would drive away entrepreneurs and cripple the state economy. “There’s nothing more portable than a millionaire and his money,” warned the ranking Republican on the state Senate’s budget committee. The tax hike passed anyway—and California’s share of the nation’s million-dollar earners actually grew, reaching 18 percent in 2021. (Californians make up just less than 12 percent of the overall population.) And yet, when California recently considered a proposal to impose a wealth tax on mega-rich households, even some Democrats echoed the same…
April 11, 2024 • By ITEP Staff
State and local tax codes can do a lot to reduce inequality. But they add to the nation’s growing income inequality problem when they capture a greater share of income from low- or moderate-income taxpayers. These regressive tax codes also result in higher tax rates on communities of color, further worsening racial income and wealth divides.
April 10, 2024 • By Andrew Boardman
This tax season more than 800,000 households in New York City, Maryland's Montgomery County, and San Francisco are set to receive a boost through local refundable EITCs. These credits put dollars directly into the pockets of low-income households, equipping families with resources to better make ends meet and invest in their futures. In turn, they can help build stronger, fairer, and more resilient communities.
April 3, 2024
On March 7, President Joe Biden reintroduced proposals to increase taxes on the wealthiest Americans and the nation’s most profitable corporations. The move virtually ensures that the nation’s extreme wealth inequality — more than one in four dollars in the country is held by a tiny sliver of households with a net worth over $30 million — will be part of the national election debate. But excessive wealth may take center stage in at least 10 states, ranging from Democratic bastions such as California, Hawaii and New York to swing states such as Nevada and Pennsylvania.
Every child deserves the opportunity to succeed in society – and tax policy has a huge role to play in making that happen. Better tax policy can help prepare our young children with skills to become successful and thriving adults.
March 14, 2024 • By Andrew Boardman
More than one dozen cities and counties levy progressive taxes on high-price real estate transactions — sometimes called mansion taxes — and over a dozen more are considering such policies. By asking buyers and sellers with greater financial means to contribute more to the common good, these policies are equipping communities with resources to make progress on critical challenges of local and national concern.
March 12, 2024
President Joe Biden’s child tax credit plan would benefit millions of California parents, saving eligible families an average of $2,980, according to data from Washington’s Institute on Taxation and Economic Policy.
Anti-tax interests finally found the end of the tax cutting appetite in a few states this week...