Institute on Taxation and Economic Policy

ITEP Work in Action

Missouri Budget Project: The “Mega Sales Tax” is Unwise Policy

January 14, 2013

There are currently nine initiative petitions and two legislative proposals to place a constitutional amendment before voters in November 2012 that would eliminate personal and corporate incomes taxes and replace them with a greatly expanded sales tax. The proposals have significant costs for the state and its residents, and are fraught with uncertainty. Read the […]

Kentucky Center for Economic Policy: Farmer’s High-Risk Overhaul Creates Imbalance in Kentucky’s Tax System

January 14, 2013

House Bill 196, sponsored by Representative Bill Farmer, proposes to overhaul Kentucky’s tax system by eliminating income taxes on individuals and corporations while greatly expanding the sales tax base. The bill is an example of a shift to a consumption-based tax system. Kentucky needs to reform its tax structure, and HB 196 considers ways to […]

Florida Center for Fiscal and Economic Policy: The Facts About Florida Taxes- Among the Lowest in the Nation

January 14, 2013

The current emphasis in Tallahassee on cutting state taxes obscures important facts about Florida’s state tax system and about choices available to balance the budget and meet the needs of Floridians. When Governor Rick Scott unveils his first budget proposal Monday, it is expected to include a reduction in the corporate income tax rate and […]

Georgia Budget and Policy Institute: Additional Adjustment Options to Improve Fairness in the Tax Recommendations

January 14, 2013

The Special Council on Tax Reform and Fairness for Georgians provided recommendations that make improvements to structural issues plaguing Georgia’s tax system. The Tax Council took strong action to broaden tax bases—a tenet of good tax policy. Although the Tax Council’s recommendations would improve Georgia’s ability to meet current and future needs, they would do […]

The Poverty Institute: Rhode Island’s Hidden Spending: Tax Expenditures

January 14, 2013

Tax expenditures result in very large revenue losses to the state.  Over the years, Rhode Island has given up billions of dollars in potential tax revenue through tax expenditures.  Every other year, the Rhode Island Department of Revenue publishes a Tax Expenditures Report detailing the more than two hundred tax expenditures and their annual costs. […]

Policy Matters Ohio: Analysis finds that cutting Ohio’s tax on capital gains would be costly, 92% of Ohioans would get nothing

January 14, 2013

Cutting the Ohio income tax on capital gains would be costly and most of the gains would go to the most affluent Ohioans, while 92 percent of Ohio taxpayers would get nothing at all. Read the Full Report (PDF)

Policy Matters Ohio: Testimony of Hannah Halbert, Policy Liaison, Policy Matters Ohio before the House Ways & Means Committee on HB 98, March 30, 2011

January 14, 2013

We asked the Institute on Taxation and Economic Policy, a Washington, D.C., research group, to examine House Bill 98. ITEP has a computer model of the tax system of all 50 states. Its analysis of HB 98 covered Ohio residents age 71 and over, a slightly smaller group than those at least 70½. ITEP found […]

Missouri Budget Project: Creating a State Earned Income Tax Credit for Missouri: Supporting Work, Families & the Local Economy

January 14, 2013

The State EITC is one of the most effective Economic Stimulus Measures: In this time of economic turmoil, one of the most effective steps state lawmakers can take to stimulate Missouri’s economy is to create a State Earned Income Tax Credit (EITC). A State EITC could benefit as many as 440,000 Missouri families and is […]

Missourians for Tax Justice: Tax Reform Committee Hears HB 581

January 14, 2013

On March 16, the Tax Reform Committee of the Missouri House of Representatives heard House Bill 581 which would create a state earned income tax credit (EITC). The bill would authorize, beginning January 1, 2011, an individual income tax credit equal to 20% of any earned income tax credit claimed by the taxpayer on his […]

Michigan League for Human Services: The Michigan EITC and Taxes Paid by Working Families

January 14, 2013

Even with a state EITC, low-income families pay more of their income in state and local taxes than the state’s wealthiest families. Read the Full Report (PDF)

Michigan League for Human Services: All Pain, No Gain

January 14, 2013

Michigan has a regressive tax system, meaning that lower-income people pay a bigger share of their income in state and local taxes than higher-income people. Gov. Rick Snyder’s plan would make it even more regressive, according to an analysis by the Institute on Taxation and Economic Policy, a Washington D.C.-based nonpartisan think tank. In fact, […]

Maine Center for Economic Policy: MECEP Urges Legislature to Expand and Simplify Maine’s Property Tax “Circuit Breaker”

January 14, 2013

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 and Improve the Circuit Breaker Program.” The Maine Residents Property Tax and Rent Refund Program, popularly known as the “Circuit Breaker,” provides eligible Maine residents […]

Kentucky Center for Economic Policy: Four Revenue Options that Should Be on the Table

January 14, 2013

The Kentucky legislature is debating ways to address the hole in the state’s Medicaid budget. The options under consideration include immediate across-the-board budget cuts as well as eventual cuts to non-education programs if the governor’s proposed Medicaid savings for 2012 are not achieved. But before enacting painful cuts that are on top of several years […]

Connecticut Voices for Children: Testimony Regarding Senate Bill No. 1007: An Act Concerning the Governor’s Recommendations on Revenue

January 14, 2013

“Today I submit testimony regarding Senate Bill 1007 An Act Concerning the Governor’s Recommendations on Revenue, in particular, regarding components of the act which concern the personal income tax. Specifically, this testimony makes three broad points: 1) The Governor’s personal income tax proposals generally represent an improvement to Connecticut’s current income tax. 2) The total […]

Children’s Action Alliance: The Flat Tax Proposal – Winners and Losers – Which One Are You?

January 14, 2013

Arizona families need a budget that works for them. HB 2636 doesn’t do that. Instead, it provides significant tax breaks to those at higher income levels at the expense of low- and middle-income Arizonans.

Center for Public Policy Priorities: Who Pays Texas Taxes

January 14, 2013

Our quality of life in Texas depends on our public structures-including public education, child health services, and transportation infrastructure–maintained by Texas tax dollars, A good tax system would not only provide adequate revenue to maintain these structures, but would also match the share of taxes paid with the share of income earned by each Texas […]

The Poverty Institute: A 21st Century Sales Tax Why Governor Chafee’s plan to modernize the sales tax is necessary

January 14, 2013

Rhode Island must modernize its antiquated sales tax in order to maintain investments in public services that improve our quality of life, protect our families and businesses, and help grow our economy. Today, we have one of the most narrow sales tax bases in the country, and our collections from this important source of revenue […]

North Dakota Economic Policy Project: Proposed Rate Cuts Would Make North Dakota Tax System More Unfair

January 14, 2013

“North Dakota Legislators are proposing nearly a half billion dollars in tax cuts, reductions and exemptions this session. Some of those tax breaks may be warranted, but they should be targeted primarily to North Dakotans working to sustain or achieve a middle class life.”

NC Policy Watch: The Devil’s in the Details- Health and Human Services

January 14, 2013

Legislative leaders announced their intent to cut $592 million from the state’s health and human services budget next year, which is $372 million more than the $212 million in FY11-12 cuts proposed in the Governor’s budget. To put the legislature’s proposal in perspective, the state’s $4.9 billion health and human services budget is second only […]

North Carolina Justice Center: A Plan to Modernize North Carolina’s Revenue System

January 14, 2013

State leaders must create a budget that meets the population’s needs and allows them to make the investments that will prepare North Carolina for future prosperity. But these goals are made more difficult to achieve by the state’s deteriorated revenue system, which even in the best of times cannot produce the resources required for education, […]

Mississippi Economic Policy Center: Thank Taxes- Tax Day 2011

January 14, 2013

Everyone who gets a paycheck pays payroll taxes. Everyone who buys anything at a local store or fills up their car with gas pays taxes. Individuals and businesses alike, benefit from the public structures paid for by taxes. The figure below shows the estimated share of state and local taxes as a percentage of income […]

Florida Center for Fiscal and Economic Policy: Tax Giveaways to Corporations Deserve a Look As Floridians Mark Tax Day

January 14, 2013

“This initial report examines a small portion of the many “economic development incentive” programs funded by the legislature that direct tens of millions of tax dollars each year to corporations under the guise of job creation. Whether the subsidies work often is open to question. Official state reports suggest that half or more of the […]

California Budget Project: Who Pays Taxes in California?

January 14, 2013

Former Supreme Court Justice Oliver Wendell Holmes once noted that, “Taxes are what we pay for civilized society.” State and local taxes support our public schools, streets and highways, public hospitals that form the backbone of the state’s trauma care system, parks and beaches, the public health infrastructure that ensures that our food is safe […]

Policy Matters Ohio: Testimony to the House Finance and Appropriations Committee on Substitute House Bill 153

January 14, 2013

We remain concerned with House Bill 153 and the numerous and drastic cuts that it makes to education, local governments and a wide range of public services. While the committee has restored funding for some important services, others have been reduced. This will be a zero sum game unless the General Assembly takes the necessary […]

North Dakota Economic Policy Project: Revised Analysis of 2011 Individual Income Tax Reductions

January 14, 2013

“North Dakota Legislators passed nearly a half billion dollars in tax cuts, reductions and exemptions this session. Some of those tax breaks may have been warranted, but they should have been targeted primarily to North Dakotans working to sustain or achieve a middle class life. One tax cut passed by the 2011 Legislature reduced the […]

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.