Citations

The Massachusetts Budget and Policy Center (MassBudget) proposes that the state opts out the five most costly federal corporate tax cuts made in the One Big Beautiful Bill Act. Read more.

The proposed ballot question to cut the Massachusetts state income tax would not just force deep cuts to investment in public programs and infrastructure. Its benefits are also highly skewed towards households with the highest incomes. Read more.  

Massachusetts loses out on hundreds of millions of tax dollars each year due to “profit-shifting”, a practice common among large, multinational corporations. International profit-shifting involves complex accounting maneuvers that make a corporation’s U.S. profits appear instead on the books of related companies located in offshore tax havens. It is an abusive form of tax avoidance that many multinational corporations use to lower their federal and state tax payments.

Good afternoon, Senator Fonfara, Representative Horn, and members of the Committee, and thank you for this opportunity to testify. My name is Marco Guzman and I'm a senior policy analyst with the Institute on Taxation and Economic Policy, or ITEP, and we’re a nonprofit research organization that focuses on state, local, and federal tax policy issues. 

Below is written testimony delivered by ITEP Local Policy Director Kamolika Das before the Pennsylvania House Finance Subcommittee on Tax Modernization & Reform on March 1, 2024. Good afternoon and thank you for this opportunity to testify. My name is Kamolika Das, I live in South Philly, and I’m the Local Tax Policy Director at […]

In recent years, lawmakers have enacted some important legislation helping Massachusetts residents, regardless of their immigration status, to take full part in commerce and civic life. Laws providing access to drivers’ licenses and in-state tuition, for instance, have opened opportunities that support employment and advance economic growth. Yet tens of thousands of workers, and their families, who pay taxes in Massachusetts are prevented from receiving the Earned Income Tax Credit (EITC) because they are ineligible for a Social Security Number. Extending eligibility to all workers filing taxes, regardless of their immigration status, would increase the impact of Massachusetts’ EITC, help…

A new 50-state analysis from the Institute on Taxation and Economic Policy (ITEP) finds that Massachusetts’ recently adopted millionaire tax makes Massachusetts’ state and local tax system much more equitable. Even under current law, however, those with incomes over $1 million still will pay a smaller share of their income in state and local taxes […]

Lawmakers have proposed a variety of tax cuts, some of which would provide outsize benefits to the most affluent households and widen existing racial and economic disparities. Other proposed tax changes would make the Commonwealth more equitable by targeting benefits to lower-income households who need them the most. Read more.

For a video of Marco’s testimony, click here. Thank you, Assemblywoman Anderson, and thank you chairman and members of the Assembly for the opportunity to speak on the topic of Nevada’s state tax system. My name is Marco Guzman, and I am a Senior State Policy Analyst with the Institute on Taxation and Economic Policy […]

Governor Healey’s tax relief proposal would reduce state revenue available for future investments by $986 million annually. Three proposed tax credits would be progressive, meaning the benefits for lower-income households would be a larger percent of their income than the benefits for higher-income houseolds..1 The Governor also proposes two highly regressive tax cuts, meaning richer, higher-income households would receive […]

The Earned Income Tax Credit (EITC) is a key program for reducing poverty in the United States. Together with the federal Child Tax Credit, these low-income federal credits lifted 7.5 million households above the poverty line in 2019, more than any other program except Social Security. In Massachusetts, the EITC provides support to more than […]

By returning the state corporate income tax to pre2010 rates, the Commonwealth could raise $375 million to $500 million a year to help fund a racially equitable, economically just, and robust recovery. As is now clear, low-income communities and communities of color have been hurt far more deeply by the COVID-19 pandemic than wealthier and […]

Data from the Institute on Taxation and Economic Policy (ITEP) detail how the current system of state and local taxes in Massachusetts is regressive, largely because the state uses a flat income tax rate and relies heavily on sales taxes. The chart above shows how an increase in the gas tax would make Massachusetts taxes […]