Blog - State Policy
State Rundown 4/12: Tax Day 2023 – A Good Reminder of the Impact of Our Collective Investments
April 12, 2023 • By ITEP Staff
With Tax Day quickly approaching it’s worth taking some time to reflect not just on tax forms (though those are important!), but also on the current state of state tax policy...
Deep Public Investment Changes Lives, Yet Too Many States Continue to Seek Tax Cuts
April 12, 2023 • By Aidan Davis
When state budgets are strong, lawmakers should put those revenues toward building a stronger and more inclusive society for the long haul. Yet, many state lawmakers have made clear that their top priority is repeatedly cutting taxes for the wealthy.
As Tax Day approaches, it’s worth thinking about not only the taxes that we individually pay but the overall condition of our tax code as well. State tax codes, while perhaps less discussed than the federal system, are critically important. Depending on how they are designed, state taxes can improve or worsen economic and racial […]
This week, a bill out of Arkansas that would cut the top personal income tax rate and the corporate income tax rate found its way to the governor’s desk...
Minnesota’s Tax Code Should Be Based on Ability to Pay, Not Year of Birth
March 31, 2023 • By Carl Davis, Eli Byerly-Duke
Minnesota lawmakers are considering a carveout that would treat seniors much more favorably than young families. The proposal would fully exempt all Social Security income from state income tax, even for seniors with exceptionally high incomes.
Over the past week Washington state saw a major victory for tax fairness after the state Supreme Court held the state’s capital gains tax—passed in 2021—constitutional...
As nature bursts into life and color with the arrival of spring, state tax proposals are doing the same as the legislative seeds planted by lawmakers earlier this year start to grow, blossom, and in some cases rot. However, some governors are not entirely happy with what state lawmakers have produced.
States Prioritize Old Over Young in Push for Larger Senior Tax Subsidies
March 23, 2023 • By Carl Davis, Eli Byerly-Duke
Under a well-designed income tax based on ability to pay, it is simply not necessary to offer special tax subsidies to older adults but not younger families. At the end of the day, your income tax bill should depend on what you can afford to pay, not the year you were born. It’s really as simple as that.
It’s March and state lawmakers are showing why the Madness isn’t only reserved for the basketball court...
State Rundown 3/9: The Whirlwind 2023 Legislative Session Continues
March 9, 2023 • By ITEP Staff
State 2023 legislative sessions are proving to be eventful ones. With many states eager to make use of their budget surpluses, major tax changes are still being proposed and others signed into law. Michigan residents will soon see an increase to their state Earned Income Tax Credit (from 6 percent to 30 percent) after the […]
This week, several big tax proposals took strides on the march toward becoming law...
New Jersey, New York, and Connecticut Should Keep Corporate Taxes Strong, Extend Surcharges
February 28, 2023 • By Marco Guzman
At a time when corporations are seeing record profits while not paying their fair share of federal taxes, state corporate income taxes can and should play a role in raising sustainable revenue and adding progressivity to state tax codes. Right now, lawmakers in New Jersey, New York, and Connecticut have a unique opportunity to extend targeted tax changes that have raised billions of dollars from profitable corporations for meaningful public investments.
The flat tax plan and others being discussed that would cut even deeper would be windfalls for the wealthy, and expensive ones at that. Families with incomes over $300,000 per year, for example, could expect to gain, as a group, about a billion dollars annually under the flat tax plan. If you asked Ohio families about their top priorities for this legislative session, it’s a safe bet that very few of them would choose a billion-dollar tax cut for this group over funding for schools, parks, and infrastructure.
State Rundown 2/23: Tax Dominos Take Shape, Begin to Fall as Session Heats Up
February 23, 2023 • By ITEP Staff
The 2023 legislative session is in full swing, and dominos continue to be set up as others fall...
The word “tax” appears 97 times and counting in one recent summary of governors’ addresses to state legislators so far this year. The policy visions that governors are bringing, however, vary enormously. While there's good reason to worry about tax cuts for wealthy families and the flattening or elimination of income taxes, there are at least five great tax ideas coming directly out of governors’ offices this year.
This week, a fresh bouquet of tax proposals was delivered by state lawmakers, but not all of them have left us with that warm, fuzzy feeling in our stomachs...
The great women’s philosopher, Pat Benatar, once said “love is a battlefield,” and there’s no greater test of our love for state tax policy than following the ups and downs of state legislative sessions...
Why the States Have a Major Role to Play If We Want Tax Justice
February 9, 2023 • By Amy Hanauer
With fears of gridlock in a divided Washington, tax justice champions are building momentum in other places where there's dire need for better tax policy: the states. We can upgrade communities across the country by making 2023 a year to win tax improvements in statehouses.
State Rundown 2/1: February Brings New (and Some Old) Tax Policy Conversations
February 1, 2023 • By ITEP Staff
Tax bills across the U.S. are winding their way through state legislatures and governors continue to set the tone for this year’s legislative sessions...
State Rundown 1/26: Tax Season Brings With it Reminder of EITC’s Impact
January 26, 2023 • By ITEP Staff
Tax season has officially kicked off and with Earned Income Tax Credit (EITC) Awareness Day right around the corner, it serves as another reminder for how important the EITC is...
State Rundown 1/19: ITEP Provides a Roadmap for Equitable Tax Goals in 2023
January 19, 2023 • By ITEP Staff
State legislatures are buzzing as leaders and lawmakers jockey to advance their 2023 goals...
Lawmakers in seven states will introduce legislation this week to tax wealth in a new coordinated effort to combat ever-increasing income and wealth inequality. The bills couldn’t come at a better time, as those at the very top continue to pull apart from the rest of us and far too many states contemplate piling on to this runaway inequality with seemingly endless tax cuts for those at the top.
State Lawmakers Should Break the 2023 Tax Cut Fever Before It’s Too Late
January 18, 2023 • By Miles Trinidad
Despite mixed economic signals for 2023, including a possible recession, many state lawmakers plan to use temporary budget surpluses to forge ahead with permanent, regressive tax cuts that would disproportionately benefit the wealthy at the expense of low- and middle-income households. These cuts would put state finances in a precarious position and further erode public investments in education, transportation and health, all of which are crucial for creating inclusive, vibrant communities where everyone, not just the rich, can achieve economic security and thrive. In the event of an economic downturn, these results would be accelerated and amplified.
Momentum Behind State Tax Credits for Workers and Families Continues in 2023
January 18, 2023 • By Miles Trinidad
Refundable tax credits are an important tool for improving family economic security and advancing racial equity, and there is incredible momentum heading into 2023 to boost two key state credits: the Child Tax Credit and the Earned Income Tax Credit.
State Rundown 1/11: Governors Ready to Talk Tax in 2023 State Addresses
January 11, 2023 • By ITEP Staff
Governors have begun their annual trek to the podium in statehouses across the U.S. to lay out their visions for 2023, and so far, taxes look like they will play a major role in debates throughout state legislative sessions...
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