
Two states are on the verge of embracing a tried and tested anti-poverty policy, the Earned Income Tax Credit (EITC). In the past two weeks, lawmakers in both Hawaii and Montana passed EITC legislation, which governors in both states are expected to sign. Once officially enacted, these states will join 26 other states and the […]
May 1, 2017 • By Dylan Grundman O'Neill
Three of the biggest needs facing state policymakers right now are new revenues to fund their priorities in the face of budget shortfalls and federal funding cuts, ways to insulate those revenue streams from unpredictable tax changes at the federal level, and approaches to meet these needs without leaning even more heavily on low- and […]
States are experiencing a rapid decline in state corporate income tax revenue, and the downward trend has become increasingly pronounced in recent years. Despite rebounding bottom lines for many corporations, a new ITEP report, 3 Percent and Dropping: State Corporate Tax Avoidance in the Fortune 500, 2008 to 2015,finds that effective tax rates paid by […]
April 27, 2017 • By ITEP Staff
This week, transportation funding debates finally concluded with gas tax updates in Indiana, Montana, and Tennessee, and appear to be nearing an end in South Carolina. Meanwhile, Louisiana and Oregon lawmakers debated new Gross Receipts Taxes, and Texas legislators considered eliminating the state’s franchise tax. — Meg Wiehe, ITEP Deputy Director, @megwiehe Louisiana Gov. Bel Edward’s Commercial Activities Tax (CAT) was pulled from committee early this week without a vote due to opposition, […]
April 27, 2017 • By ITEP Staff
In the Tax Justice Digest we recap the latest reports, blog posts, and analyses from Citizens for Tax Justice and the Institute on Taxation and Economic Policy. Here’s a rundown of what we’ve been working on lately. Here we go again The Trump Administration on Wednesday released a tax sketch that is a roadmap for […]
The Louisiana Legislature has been in session for two weeks now. The stage has been set for fiscal reform and the stakes are high. The state faces a $1.3 billion loss of revenue starting July 1, 2018 when the temporary sales tax base expansion and rate increase expires if lawmakers fail to close the gap […]
April 19, 2017 • By ITEP Staff
This week Alaska‘s House advanced a historic bill to reinstate an income tax in the state, Oklahoma‘s House voted to cancel a misguided tax cut “trigger,” West Virginia‘s governor colorfully vetoed his state’s budget, tax reform debate kicked off in Louisiana, and gas tax updates were considered in South Carolina and Tennessee, among other tax-related news […]
April 12, 2017 • By ITEP Staff
This week in state tax news we see Louisiana‘s session getting started, budgets passed in New York and West Virginia, Kansas lawmakers taking a rest after defeating a harmful flat tax proposal, and Nebraska legislators preparing for full debate on major tax cuts. Nevada lawmakers may make tax decisions related to tampons, diapers, marijuana, and […]
March 24, 2017 • By Misha Hill
While every state’s tax system is regressive, meaning lower income people pay a higher tax rate than the rich, some states aim to improve tax fairness through a state Earned Income Tax Credit (EITC). Federal lawmakers established the in 1975 to bolster the earnings of low-wage workers, especially workers with children and offset some of […]
March 23, 2017 • By ITEP Staff
In the Tax Justice Digest we recap the latest reports, blog posts, and analyses from Citizens for Tax Justice and the Institute on Taxation and Economic Policy. Here’s a rundown of what we’ve been working on lately. State-by-State Analysis of GOP Health Care Plan By now, it’s widely known that the GOP health care plan […]
This week in state tax news saw major changes debated in Hawaii and West Virginia and proposed in North Carolina, a harmful flat tax proposal in Georgia, new ideas for ignoring revenue shortfalls in Mississippi and Nebraska, an unexpected corporate tax proposal from the governor of Louisiana, gas tax bills advance in South Carolina and […]
This week brings more news of states considering reforms to their consumption taxes, on everything from gasoline in South Carolina and Tennessee, to marijuana in Pennsylvania, to groceries in Idaho and Utah, and to practically everything in West Virginia. Meanwhile, the fiscal fallout of Kansas’s failed ‘tax experiment’ has new consequences as the state’s Supreme […]
March 1, 2017 • By ITEP Staff
Tax cuts have been proposed in many states already this year, but amid so much uncertainty, it remains to be seen how successful those efforts will be. This week saw one dangerous, largely regressive tax cut proposal move in Georgia, new budget proposals in Louisiana and New Jersey, a new plan to close West Virginia‘s […]
This week saw a nearly successful attempt to right the fiscal ship in Kansas; regressive tax proposals introduced in WestVirginia, Georgia, and Missouri; ongoing gas tax fights in Indiana, South Carolina, and Tennessee; and further tax and budget wrangling in Illinois, New Mexico, Oklahoma, and beyond. — Meg Wiehe, ITEP State Policy Director, @megwiehe Both […]
February 15, 2017 • By Misha Hill
This is the fourth installment of our six-part series on 2017 state tax trends. The introduction to this series is available here. State lawmakers often find themselves looking for ways to raise revenue to fund vital public services, fill budget gaps, or pay for the elimination or weakening of progressive taxes. Lately, that search has […]
This is the second installment of our six part series on 2017 state tax trends. The introduction to this series is available here. State tax policy can be a divisive issue, but no area has generated more agreement among lawmakers across the country than the need to raise new revenues to fund infrastructure improvements. The […]
February 2, 2017 • By Aidan Davis
This is the third installment of our six-part series on 2017 state tax trends. The introduction to this series is available here. As we described last week, many states are gearing up for challenging budget debates this year. But the need to address revenue shortfalls has not stopped lawmakers in many states from pursuing harmful […]
This week’s Rundown brings news of tax cuts passed in Arkansas and advanced in Idaho, proposals to exempt feminine hygiene products from sales taxes in Nevada and Michigan, revenue shortfalls forcing tough choices in Louisiana and Maine, and more governors’ state of the state addresses and budget proposals setting the stage for yet more tax […]
January 30, 2017 • By Carl Davis
UPDATE: After this post was published, Amazon announced that it will begin collecting sales tax in Oklahoma on March 1. This post has been updated to reflect this development. The nation’s largest Internet retailer has made an about-face on its sales tax policy, making consumers’ ability to evade sales tax on online purchases a little […]
Over the next few weeks we will be blogging about what we’re watching in state tax policy during 2017 legislative sessions. In this “What to Watch in the States” series, we will look at the following: State responses to short- and long-term revenue deficits Boosting funding for infrastructure, though sometimes at the expense of other […]
Since the 2007-2009 economic crisis, rising income inequality and the role our public policies play in aiding or easing this trend have been an ongoing part of the public discourse. In spite of what we know about the growing gap between the rich and the rest of us, federal and state policymakers continue to sell […]
January 18, 2017 • By ITEP Staff
This week we continue to track revenue shortfalls, governors’ budget proposals, and other tax news around the country, finding most proposals to be focused on slashing taxes and reducing public investments despite public opinion and economic research showing the benefits of well-funded state services and progressive tax policies. — Meg Wiehe, ITEP State Policy Director, […]
January 4, 2017 • By ITEP Staff
This week we bring you updates on major revenue shortfalls looming in Nebraska, Oklahoma, and Pennsylvania, as well as gas tax changes taking effect in some states and being debated in others. — Meg Wiehe, ITEP State Policy Director, @megwiehe Oklahoma lawmakers are weighing options to close the state’s $870 million shortfall. Up for discussion are […]
The sharp decline in oil prices since summer 2014 has allowed consumers to save hundreds of dollars annually at the pump, but it also has left some energy producing states clamoring to come up with policy ideas to make up for lost revenue.