
March 25, 2015
The Wallethub study, using data from the Institute on Taxation and Economic Policy’s 2015 report, identified the best states in which to be taxed according to income group. The study looked at three levels–low ($25,000); medium ($50,000) and high ($150,000). Read more
March 25, 2015
On the other hand, that’s just a little higher than the 10 percent paid by low earners in the state – making New Jersey one of the most fair states in terms of how the tax burden is shared by low and high earners, according to the Institute on Taxation and Economic Policy, which supplied […]
March 25, 2015
According to the Institute on Taxation and Economic Policy’s latest report, many taxes, such as payroll, sales, and some state and local taxes, are regressive. That means that they take more money from lower and middle income brackets than from wealthier families, WalletHub reported. Read more
March 25, 2015
The Institute on Taxation and Economic Policy, a Washington, D.C.-based think tank, says Washington’s tax system is the most regressive in the nation. That’s because with our state’s heavy reliance on sales tax and lack of an income tax, the poorest 20 percent of residents pay 16.8 percent of their income in state and local […]
March 25, 2015
Washington’s tax system, ranked as the most regressive in the country by the Institute on Taxation and Economic Policy, is not helping. The lowest-earning families in the state “pay about 17% of their income in taxes. And our top 10 percent pay about 2.7% of their income”, said Pramila Jayapal, a Democratic state senator. All […]
March 25, 2015
“The key thing about a tax system is it absolutely has to be adequate to meet the core public service commitments that we need to be making as a state,” says Sirota. “But the way in which we raise revenue is really critical.” Sirota says taxpayers making less than $67,000 a year – about 80 […]
March 25, 2015
Herzenberg pointed out that Illinois was ranked fifth on the Institute on Taxation and Economic Policy’s (ITEP) ‘Terrible Ten’ list of states with the most regressive tax systems. He said Illinois’ tax system is regressive because high-income earners spend a smaller percentage of their income on sales and consumption taxes than low-income and middle-income earners, […]
March 25, 2015
To identify the best states to be taxed in, according to a taxpayer’s income group, WalletHub generated estimates of the state-specific tax burden on residents at three income levels — low ($25,000), medium ($50,000) and high ($150,000) — in each of the states, plus the District. Data was taken from the Institute on Taxation & […]
March 25, 2015 • By ITEP Staff
Big tax cuts that largely benefit corporations and wealthy Mississippians are unaffordable and will erode our ability to support schools, universities, roads and bridges and public safety. Big tax cuts will undermine our future by making it harder for the state to invest in the things that make Mississippi’s working families more productive like a […]
March 24, 2015 • By ITEP Staff
Vermont’s income tax is among the lowest in the country: 2.7 percent of the state’s total personal income. Eliminating tax breaks and lowering income tax rates would balance the fiscal 2016 budget without cuts and still leave Vermont’s effective income tax rate lower than those of 24 other states. Read the full report here.
March 18, 2015 • By ITEP Staff
An analysis by the Institute of Taxation and Economic Policy (ITEP) of Washington, D.C. found that adjusting top rates to the levels in the table below would impact only two percent of state taxpayers, generate $300 million in state revenue, enable taxpayers with increased state taxes to deduct $114 million from federal tax returns, leaving […]
March 18, 2015 • By ITEP Staff
Workers who receive the EITC pay federal payroll taxes, sales and property taxes, and more. In fact, Rhode Island has the 5th highest taxes on low-income households in the nation. The lowest-income taxpayers pay nearly twice as much of their income towards taxes as the wealthiest Rhode Islanders.
March 17, 2015
Another recent study found that Florida’s taxes hit the poor the most, largely through the sales tax. Those at the bottom fifth in income in Florida pay 13 percent of their income in state and local taxes, while the state’s top 1 percent pay only 2 percent, said the Institute on Taxation and Economic Policy, […]
March 16, 2015 • By ITEP Staff
“Vermont is one of six states in the country that uses federal taxable income rather than adjusted gross income as the base for the state income tax. Because this base is lower, the state must set its top marginal rate higher than necessary to raise the needed revenues. Additionally, tax breaks that primarily benefit upper-income […]
March 16, 2015 • By ITEP Staff
“All Nebraskans would experience lower property taxes under this proposal, and many residents would pay less in taxes overall. LB 280 makes our tax code more progressive, ensuring that low- and middle-income Nebraskans pay less in overall taxes than our highest-income individuals. While the effects will vary depending on each taxpayer’s income, property value, and […]
March 16, 2015
Under a compromise plan, the state’s gas tax would rise 5 cents in January and subsequently be increased automatically as gas prices rise, The Salt Lake Tribune reported. But Utah is far from alone. If that compromise is signed into law by Gov. Gary Herbert, Utah will become the 10th state to raise its gas tax in just two […]
March 16, 2015
In fact, a new report from the Institute on Taxation and Economic Policy concludes that low- and middle-income taxpayers pay more than their fair share of Indiana taxes. Middle-income taxpayers, those making between $34,000 and $56,000, pay 10.8 percent of their income in Indiana state and local taxes. Taxpayers making between $19,000 and $34,000 pay 11.1 percent, and […]
March 16, 2015
According to a study by the Institute on Taxation and Economic Policy, undocumented immigrants contributed an estimated $744,276,000 New York State taxes in 2010. At the federal level, the Social Security Administration each year keeps $6 billion to $7 billion in social security contributions from W-2s that cannot be matched with a correct social security […]
March 16, 2015
Illinois has the fifth most regressive state tax system in the nation due to its flat income tax, under which all residents are taxed at the same rate despite their income, and its relatively high reliance on sales and property taxes, according to a separate report released earlier this year by the Institute on Taxation and Economic Policy (ITEP). The […]
March 16, 2015
The Institute on Taxation and Economic Policy ranks Pennsylvania at No. 6 in the Institute’s “Terrible 10” states that taxes low income earners up to seven times as much of their income in taxes as the top 1 percent are taxed on their income. Washington, Florida and Texas top the list of the “Terrible 10” […]
March 13, 2015 • By ITEP Staff
“Given the questions raised about how Minnesota compares to other states, this section summarizes the results of a 50-state study of state and local tax incidence. That study, entitled Who Pays? A Distributional Analysis of Tax Systems in All 50 States (5th Edition), was published by the Institute on Taxation and Economic Policy (ITEP) in […]
March 12, 2015 • By ITEP Staff
“An analysis by the Institute on Taxation and Economic Policy, a nonprofit research group in Washington, D.C., found the bottom three-fifths of Ohioans would pay more as a group under the governor’s plan, which includes a sales-tax rate increase. Most of the increases like the sales-tax hike would fall more heavily on those with low […]
March 12, 2015 • By ITEP Staff
“A state EITC would allow low- and middle-income working families to keep more of their earnings and help rebalance California’s system of state and local taxes, which currently asks low-income families to pay a larger share of their income in taxes than high-income families.” Read the full report here.
March 12, 2015 • By ITEP Staff
“The Institute on Taxation and Economic Policy ranks Florida as having the second most unfair (or “regressive”) tax system in the nation. High‐income residents pay a far smaller share of their income in state and local taxes than middle class residents. The high‐income one percent of Floridians pay just 1.9 percent of their income in […]
March 12, 2015 • By ITEP Staff
“Reducing the corporate income tax in Maryland would also worsen he situation under which a small share of the state’s households have seen big gains in income over recent years while most other people have seen their pay stagnate and many are struggling to get by. According to analysis by the Institute for Taxation and […]