ITEP Work in Action

North Carolina’s tax code and budget are wrought with such policy choices, which can result in racist outcome that worsen barriers to well-being for people and communities of color, according to new data from the Institute on Taxation and Economic Policy (ITEP). The greater tax load carried by Black, Indigenous, and Latinx residents has been […]

Tax policy plays a role in the fight for economic and racial justice. The type of tax and how it is structured matters. A new report issued by the Institute for Taxation and Economic Policy (ITEP), Taxes and Racial Equity , explains how historical and contemporary policy choices have resulted in tax codes that maintain […]

North Carolina’s tax code and budget are wrought with such policy choices, which can result in racist outcomes that worsen barriers to well-being for people and communities of color, according to new data from the Institute on Taxation and Economic Policy (ITEP). The greater tax load carried by Black, Indigenous, and Latinx residents has been […]

As vaccines for COVID-19 make their way into the arms of Americans, a sense of normality feels within reach. But going back to normal is not what working Oregonians need. We need a reimagined sense of “normal” – one in which workers get paid living wages and the rich pay their fair share. When you […]

Historic and current injustices – both in public policy and in society more broadly – have resulted in vast disparities in income across race and ethnicity in Louisiana. Unfortunately, our tax system plays an active role in worsening these disparities by asking those with the least to contribute the largest share of their income to […]

The public discourse over inequality and racial disparities has rightly shifted to how to dismantle structural challenges that create these gross inequities. Addressing racial disparities will require a concerted effort by government across all policy areas. A new report from the Institute on Taxation and Economic Policy (ITEP) offers some perspective on how state and […]

This week, the Senate Finance Committee took up HB 3300, the House’s income tax cut plan, and made significant changes before quickly passing it out of committee. Unlike the House plan, which phased out the income tax over time with no revenue offsets, the Senate’s plan is more similar to the governor’s proposal, making a […]

This latest round of federal fiscal relief will help reduce hardship as a result of the pandemic, particularly for Californians with low incomes and people of color, and begins to set the stage for a more equitable economic recovery. This report outlines key provisions of the plan and what it means for Californians. Read more

The Idaho Legislature is considering a proposal that would cut income and corporate tax rates and provide a one-time tax rebate. Under the proposal, the tax benefits from this proposed legislation are heavily lopsided. Taking all provisions into account, households with very modest earnings would receive a $78 average tax cut, and the top 1 […]

Mississippi’s House of Representatives recently passed House Bill 1439 (“the Mississippi Tax Freedom Act of 2021”). The House passed the 300-page bill less than 24 hours after they introduced it with little debate and no fiscal note. The plan revives the recurring attempts of some lawmakers to cut state income taxes, but does much more. […]

Members of the Washington State Senate have an historic opportunity to create a more just state tax code while bolstering and sustaining our state’s fiscal and economic recovery long after federal recovery funds fade away. Senate Bill 5096 would create a new 7% excise tax on extraordinary profits from the sale of financial assets (capital […]

Governor Justice has finally unveiled his proposal to make sweeping changes to the state’s tax system, including a substantial cut to the state’s personal income tax, while raising a variety of sales and other taxes. The changes would be a dramatic shift in who pays state taxes in West Virginia, shifting the responsibility onto working […]

A tax system that adequately advances racial and economic justice must be progressive, requiring the richest people to pay a much higher share of their income in taxes than lower-income families who have little or no wiggle room in their family budget. Yet new findings from the Institute on Taxation and Economic Policy (ITEP), a […]

Finally, the state budget could take a hit if wage theft persists. Sales tax revenue as an effect of higher minimum wages is particularly relevant to highlight in Florida. The state lacks a personal income tax and over 75 percent of its general revenue fund is comprised of sales tax revenue. General revenue supports critical […]

Florida, lacking a personal income tax, relies on sales tax revenue to support critical areas like education and health and human services. More than 75 percent of Florida’s General Revenue Fund, which finances most of these vital services, is comprised of sales tax revenue. Furthermore, Florida households are the highest contributors to sales tax collections, […]

Our tax dollars serve as shared investments in the programs and services that make our state a great place to live, work, and play. Tax dollars enable Montanans to work together for things we cannot achieve alone like a quality education for our children, the development and maintenance of infrastructure, public safety through police and […]

In the midst of a global pandemic and recession, the Kansas Legislature shockingly continues to consider bills that will further lower the already low tax responsibilities of corporations and high-income Kansans. Lawmakers should reject legislation like Senate Bill 22 and instead work to enhance economic and racial equity through Kansas’s tax code. Our state’s leaders […]

In addition to eroding the corporate income tax base and harming the state budget, in many cases, the state’s tax credit programs represent the transfer of Georgia taxpayer dollars to large out-of-state corporations and top income earners. Granting funds to corporations in this manner leaves less funding for schools, job training and health care programs […]

HB 356, sponsored by Rep. Lisa Willner, would go a significant way toward cleaning up Kentucky’s tax code of the many tax breaks that benefit wealthy, predominately white Kentuckians — and would raise over $1 billion in needed revenue annually to invest in equitable and prosperous Kentucky communities. Currently, the state’s tax system plays an […]

Lawmakers in Olympia are finally listening to communities and rightly focusing on addressing racial disparities that have permeated our state economy and institutions for far too long. They must act immediately to reform many areas of public policy – from policing to housing, health care to employment – that serve to oppress Black, Indigenous, and […]

Our success as a state and a nation depends on whether all people, regardless of race, have the opportunity to thrive. From the beginning, American policies and practices oppressed, exploited and excluded Black, brown and Indigenous people, who still face obstacles to good jobs, housing, educational opportunities and health care. As a result, wealth held […]

The 2021 Montana Legislature has the opportunity to address longstanding inequities in Montana’s tax code that have made life harder for many families. Previous legislatures have chosen to balance the budget by cutting needed services for our seniors, Montanans with disabilities, and those struggling with mental health instead of finding common-sense solutions to fairly increase […]

Generally, the sales tax is regressive. The poorest one-fifth of families pay a share of their income in Maine sales taxes that is nearly nine times larger than the top 1 percent. Poorer households pay larger shares of their income in sales taxes than wealthy households in part because wealthier households save a larger percent […]

Moreover, the 2017 federal tax law has put more money in the pockets of many Ohio business owners. The Tax Cuts and Jobs Act, slashed corporate taxes and provided a big new tax break for owners of partnerships, S Corporations and other businesses known as “passthrough entities” because their profits are taxed under the individual […]

Families’ access to wealth has played a large role in determining how the pandemic has affected them. The worst of the economic and health effects have largely bypassed wealthier, higher-paid families — which are disproportionately white — but have been far more prevalent among lower-income families and those of color. Amid sizeable state budget shortfalls […]