Building an inclusive economy requires tax policy that meets two conditions. The first is that those with the most are asked to pay more, or at the very least pay as great a share of their income in taxes as everyone else. The second is that enough shared resources are raised through the tax code to invest adequately in foundations of a strong economy including good schools, access to health care, and safe and modern infrastructure.
ITEP Work in Action
Advocates and policymakers at the state and federal levels rely on ITEP’s analytic capabilities to inform their debates on proposed tax policy changes. In any given year, ITEP fields requests for analyses of policies in 25 or more states. ITEP also works with national partners to provide analyses of federal tax policy proposals. This section highlights reports that use ITEP analyses to make a compelling case for progressive tax reforms.
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ITEP Work in Action October 17, 2018 Maine Center for Economic Policy: Maine Still Has Work to Do in Building a Balanced and Adequate Tax Code
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ITEP Work in Action April 17, 2018 Maine Center for Economic Policy: Comparing the Democratic and GOP tax bills
Because of the federal tax overhaul spearheaded by President Trump and Congressional Republicans, the Maine Legislature is considering two competing proposals to change its own tax code. Lawmakers face a… -
ITEP Work in Action March 9, 2018 Maine Center for Economic Policy Policy Brief: The LePage Tax Bill
On March 1, Gov. Paul LePage’s Administration presented a tax bill to the Legislature designed to mirror at the state level some of the reforms enacted by passage of the… -
ITEP Work in Action August 17, 2017 Maine Center for Economic Policy: Maine Millionaires Primary Recipients of Proposed Trump Tax Breaks
New analysis from the Institute on Taxation and Economic Policy (ITEP) shows Maine’s millionaires would get an average tax cut of $135,220 under President Trump’s proposed tax plan. Maine millionaires represent only 0.3 percent of all Maine households, yet would receive more than a quarter of all tax breaks.
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ITEP Work in Action July 20, 2017 Maine Center for Economic Policy: Trump Tax Plan Would Give Richest Maine Taxpayers an Average $53,000 Tax Cut and Trigger Deep Cuts to Federal Dollars for Maine
A new analysis from the Institute on Taxation and Economic Policy reveals a federal tax reform plan based on President Trump’s April outline would fail to deliver on its promise of helping middle-class taxpayers, showering three out of every five dollars of the total tax cut on the richest 1 percent nationwide. In Maine, the top 1 percent of the state’s residents would receive an average tax cut of $53,000 compared with an average tax cut of $400 for the bottom 60 percent of taxpayers in the state.
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ITEP Work in Action July 7, 2017 Maine Center for Economic Policy: What Happens When Those with the Most Pay the Least Taxes?
With the 3 percent surcharge repealed, the state’s tax code is out of balance. Those with the most are asked to pay the least. This means a middle-class family keeps 91 cents on average after state and local taxes for each dollar earned, versus 93 cents kept by the wealthiest in the state. This preferential tax treatment of wealthy Maine household also comes at a cost to roads, public health, and quality education that low and middle income Mainers rely on the most to succeed.
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ITEP Work in Action June 13, 2017 Maine Center for Economic Policy: Senate Republican Vote Defies Will of Voters, Compromises Current and Future School Funding to Give Tax Cuts to Wealthy
According to the Institute on Taxation and Economic Policy, repealing the citizen approved surcharge would give a $16,300 tax break on average to the top 1% of Maine households and cost the state over $300 million in school funding over current and future biennia.
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ITEP Work in Action March 20, 2017 Maine Center for Economic Policy: MECEP Testifies Against Bills to Cut Taxes for the Wealthy at Expense of Maine’s Schools
Augusta, Maine (Monday, March 20, 2017) State legislators on the taxation committee will hold a public hearing today on several bills that would roll back the tax to pay for education enacted under Question 2, the ballot initiative passed by Maine voters in November 2016. As a result of Question 2, the state will have the capacity to provide 55% of school funding mandated by voters previously in 2004.
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ITEP Work in Action February 17, 2017 Maine Center for Economic Policy: Testimony in Opposition to Governor’s Proposed Budget, Parts D, E, and F
These proposed tax changes would stand in the way of building thriving communities and a strong Maine economy. There is a direct correlation between state resources and the ability to… -
ITEP Work in Action February 2, 2017 Maine Center for Economic Policy: Upside-down tax plan, missed opportunity, and unnecessary and harmful cuts in the governor’s budget proposal
At a time when Maine families are falling out of the middle-class, when experienced workers need new skills to secure good paying jobs in a modern economy, and when state… -
ITEP Work in Action January 19, 2017 Maine Center for Economic Policy Releases Findings Related to Distributional Impacts of Governor LePage’s Budget Proposal
MECEP finds that Governor LePage’s budget proposal includes an upside down tax plan that will lead to the following outcomes: Taxes will go up on average for Maine families… -
ITEP Work in Action November 1, 2016 Maine Center for Economic Policy: Moving Maine Students to the Head of the Class
“This November, Maine voters will consider a ballot initiative (Question 2) that rolls back recent tax breaks for the wealthy and dedicates this revenue toward additional state level resources for… -
ITEP Work in Action February 29, 2016 Maine Center for Economic Policy: When Budgets Unravel: Unlimited deductions will jeopardize schools and safety When Budgets Unravel: Unlimited deductions will jeopardize schools and safety
Read the full report here “Legislators passed a bipartisan budget last year that funds schools, communities, and programs that give a hand up to those most in need. The budget… -
ITEP Work in Action October 21, 2015 Maine Center for Economic Policy: MECEP Analysis: Better Deal for Maine “Provides Bigger Tax Cuts for More Mainers”
The Maine Center for Economic Policy (MECEP) today released “Distributional Analysis: ‘Better Deal’ Provides Bigger Tax Cuts for Most Mainers while Increasing Investment in Education and Other Critical Services,” a… -
ITEP Work in Action October 21, 2015 Maine Center for Economic Policy: Eliminating Maine’s income tax: A boon to wealthy Mainers, will hurt everyone else
Two weeks ago Governor LePage notified lawmakers of his intention to amend Maine’s constitution to eliminate the state’s income tax by 2020. This may mean the governor has thrown in… -
ITEP Work in Action October 21, 2015 Maine Center for Economic Policy: Republican Tax Plan Gives Huge Tax Breaks to the Wealthy While Raising Taxes for Working Mainers and Seniors
Legislative Republicans have released a tax plan that is a bad deal for working Mainers and seniors living on fixed incomes. Based on preliminary analysis the Maine Center for Economic… -
ITEP Work in Action October 21, 2015 Maine Center for Economic Policy: Everything you need to know about the Democratic and Republican tax plans in one chart
Last week Republican legislators released their proposal for overhauling Maine’s tax system. The plan includes income and corporate tax cuts, and eliminates the estate tax, all disproportionately benefiting Maine’s wealthiest… -
ITEP Work in Action October 21, 2015 Maine Center for Economic Policy: The one question Republican legislators need to answer
Last Friday legislative Republicans released their tax plan for the coming two-year budget cycle. In reference to the Republican plan, Maine people deserve an answer to one specific question: “The… -
ITEP Work in Action October 21, 2015 Maine Center for Economic Policy: Where tax fairness is concerned, the legislative Republicans’ tax plan is the worst of all
Republican legislators released their plan for overhauling Maine’s tax system last week. Yesterday MECEP posted a chart comparing the distributional impacts of the Republican and Democratic plans. The key takeaway… -
ITEP Work in Action October 21, 2015 Maine Center for Economic Policy: Latest Budget Deal modestly improves Maine’s tax system progressivity, future revenue adequacy less certain Latest Budget Deal modestly improves Maine’s tax system progressivity, future revenue adequacy less certai
It is less clear whether or not revenues in the proposal will be adequate to maintain current spending in the future when adjusted for inflation. Both the Better Deal for… -
ITEP Work in Action October 21, 2015 Maine Center for Economic Policy: Budget deal includes refundable tax credits for low- and moderate-income Mainers
The tax overhaul agreed upon by legislative leaders in their recent budget negotiations includes several major provisions that affect state and local taxes, including lower income tax rates, a broader… -
ITEP Work in Action September 22, 2015 Maine Center for Economic Policy: Statement on Gov. LePage’s Proposal to Seek a Ballot Initiative to Reduce Maine’s Income Tax to 4 Percent by 2021
The non-partisan Institute on Taxation and Economic Policy estimates that Mainers with annual income above $175,000 would receive almost 50 percent of the benefits from this massive tax cut. The… -
ITEP Work in Action June 11, 2014 Maine Policy Review: The Distributional Effects of Recent Changes to Maine’s Tax System
Both classical economic theory and recent empirical research support the notion that taxes should be progressive: that the wealthiest citizens should pay a larger share of their income in taxes… -
ITEP Work in Action May 22, 2014 Maine Center for Economic Policy: Statement at Hearing on L.D. 1664, An Act To Encourage Charitable Contributions to Nonprofit Organizations
Honorable Senator Haskell, Representative Goode, members of the Joint Standing Committee on Taxation, I am Garrett Martin, Executive Director of the Maine Center for Economic Policy (MECEP). I am here… -
ITEP Work in Action January 14, 2013 Maine Center for Economic Policy: Now is the Time for Tax Reform: Can LD 1088 Deliver?
Taxes are central to our individual and collective well-being. Taxes provide the revenue that supports the physical infrastructure, the education, health care, and environmental protections that we have collectively decided… -
ITEP Work in Action January 14, 2013 Maine Center for Economic Policy: TABOR II: A Danger to Maine’s Economy, Communities, and People
After soundly rejecting TABOR I in 2006, this November Maine voters will face another TABOR initiative. Despite claims by proponents that TABOR I’s many flaws have been corrected, TABOR II… -
ITEP Work in Action January 14, 2013 Maine Center for Economic Policy: MECEP Urges Legislature to Expand and Simplify Maine’s Property Tax “Circuit Breaker”
The Maine Center for Economic Policy (MECEP)today urged the members of the Legislature’s Joint Standing Committee on Taxation to support L.D. 474, “An Act to Reduce the Property Tax Burden…