Virginians who make the least amount of money pay 40 percent more taxes as a percent of their income than the wealthiest Virginians. That’s according to a new report from the Institute on Taxation and Economic Policy, which says Virginia’s tax code is upside down.
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 19, 2018 WVTF: Study: State Taxes Have Disproportionate Impact On Lower Income Virginians
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ITEP Work in Action October 17, 2018 The Half Sheet: Virginia’s Tax System Is Upside Down
Virginia’s state and local taxes help to shape economic opportunity across the state. That’s because state and local revenues pay for the building blocks of thriving communities: schools, roads, libraries, and other public services. Unfortunately, the current state and local tax system is upside down. Families in Virginia have taxes withheld from their paychecks, and they also pay taxes when they shop at local businesses, buy groceries, or fill their gas tanks. But updated analysis from the Institute on Taxation and Economic Policy (ITEP) shows that Virginia’s low- and moderate-income households pay a higher share of their incomes toward state and local taxes than the highest-income households.
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ITEP Work in Action June 4, 2018 The Commonwealth Institute: On Federal Tax Changes, Virginia Should Continue to Conform
Although some filers would pay more in state taxes under conformity, many of the highest-income filers – the top one percent – will receive large state tax cuts. This is… -
ITEP Work in Action December 20, 2017 The Commonwealth Institute: Dream Act Would Boost Virginia Families, Communities, State Economy, and Tax Revenues; Revoking DACA Hurts All
There are 30,000 young immigrants who were potentially eligible for DACA and call Virginia home. They currently contribute a total of $29.3 million to local and state taxes annually through… -
ITEP Work in Action October 17, 2017 Commonwealth Institute: Average Virginian Families Provided a Pittance from GOP-Trump Tax Plan, Top 1% Would See Windfall
Who in Virginia would benefit from the type of tax cuts proposed by the Trump administration and congressional Republicans? New analysis by the Institute on Taxation and Economic Policy released in October shows that nearly 80 percent of all of the tax cuts in Virginia would go to the top 1 percent–households with an average of income of $1.7 million…
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ITEP Work in Action September 15, 2017 The Commonwealth Institute: We Need More than Wishful Thinking: A Closer Look at the Candidates’ Tax Plans
Issue platforms by the current candidates for Virginia governor, including Republican candidate Ed Gillespie, Libertarian candidate Cliff Hyra, and Democratic candidate Ralph Northam, include proposals to modify or eliminate Virginia’s local business taxes, modify Virginia’s individual income tax, and eliminate the state portion of Virginia’s sales tax on groceries. All of these proposals would reduce local or state revenue collections.
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ITEP Work in Action August 28, 2017 DC Fiscal Policy Institute, Maryland Center on Economic Policy, and The Commonwealth Institute: Triple Whammy: A Regional Sales Tax for Metro, Like Fare Hikes and Service Cuts, Would Fall Hardest on Struggling Families
A strong Metro system is important to all of us in the Washington region. And everyone agrees that the Metro system needs new resources to rebuild its health. But a regional sales tax—a widely discussed option—would be an unfair way to pay for it.
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ITEP Work in Action April 24, 2017 The Commonwealth Institute: Working, Paying Taxes, Hitting Barriers
Unauthorized immigrants in Virginia contribute more than $250 million each year in state and local taxes. That’s a lot of money. But they could contribute even more – nearly $100… -
ITEP Work in Action March 17, 2017 The Half Sheet: You Can’t Cut Your Way to Prosperity
Virginia’s tax system is upside down. Regular Virginians pay a higher share of their income in state and local taxes than the wealthy and powerful. An array of recently proposed… -
ITEP Work in Action January 22, 2016 The Commonwealth Institute: Room for Improvement
“Virginia households with an average annual income of $59,000 would save an average of just $6.45 per year – less than the price of a movie ticket. And households making… -
ITEP Work in Action April 21, 2015 The Commonwealth Institute: Math that Works for All of Us
All told, undocumented Virginians currently pay $240.4 million a year in taxes to Virginia and its localities. That’s a 6.5 percent effective tax rate for the typical undocumented immigrant household.… -
ITEP Work in Action January 21, 2015 The Commonwealth Institute: Low-Income Taxpayers in Virginia Pay Higher Rate Than the Rich
The lowest income Virginians pay 74 percent more in taxes as a percent of their income compared to the state’s wealthiest residents, according to a new study released today by… -
ITEP Work in Action September 23, 2013 Center for American Progess: The Real Cost of Cuccinelli
Besides working on these major research projects, I developed CTJ/ITEP’s strong online media presence. One of the most important roles I play is as the primary web manager for both… -
ITEP Work in Action July 10, 2013 The Commonwealth Institute: Immigration Reform Generates Revenue
State and local tax contributions of undocumented immigrants in Virginia would increase 42 percent to $259.6 million from $183 million under immigration reform, according to a new report released today… -
ITEP Work in Action May 17, 2013 The Commonwealth Institute: What Would a Cut to the Top Individual Income Tax Rate Mean for Virginians?
A proposal to eliminate Virginia’s top individual income tax rate would overwhelmingly benefit the state’s wealthiest residents, who already spend far less of their household budgets on state and local… -
ITEP Work in Action April 12, 2013 The Commonwealth Institute: Destination Unknown
Navigating Virginia’s New Transportation Funding Package – and Potential Potholes The final transportation package passed by the General Assembly raises a lot of money for our roads, bridges and mass… -
ITEP Work in Action February 21, 2013 The Commonwealth Institute: Senate’s Version of HB2313 Still Lacks Offsetting Relief Measures
While the Senate’s version of Governor McDonnell’s transportation bill looks very different from the bill passed by the House – and it is – the two versions have one major… -
ITEP Work in Action January 17, 2013 The Commonwealth Institute: Governor’s Transportation Tax Hike Hits Low-Income Virginians Hardest
The tax and fee hikes proposed by Governor McDonnell to fund transportation will take a far larger share of income from Virginians at the low end of the income spectrum… -
ITEP Work in Action January 15, 2013 The Commonwealth Institute: The Road Less Taken: Creating Fair Taxes As Well As Better Highways
In the face of a funding crisis, Governor Kaine and the General Assembly face a difficult choice: Raise taxes and fees or enter into the next biennium with little money…