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blog
March 13, 2020
An Overload of Pie Graphs and Metaphors for Pi Day
For Pi Day, we’re doubling down on the pie metaphor to reiterate the compelling case for progressive tax policies to ensure more of us have an opportunity to share a slice of this nation’s economic pie.
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blog
March 11, 2020
State Rundown 3/11: Georgia Bucks Trend of Cautious Policymaking Amid Crises
With all eyes on the potential effects of the oil price war and COVID-19 coronavirus on lives, communities, and economies, Georgia House lawmakers this week crammed through a regressive and costly tax cut for the rich with essentially no debate, information, or transparency. Most states are proceeding much more responsibly, assessing the ramifications for their service provision needs and revenues to fund those needs.
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March 11, 2020
ITEP Testimony on the Illinois Earned Income Credit
Read as PDF Testimony of Lisa Christensen Gee, Director of Special Initiatives, Institute on Taxation and Economic Policy Submitted to: Illinois House Revenue Committee Chairman… -
blog
March 10, 2020
Trump’s Proposed Payroll Tax Cut Is Not the Right Answer
The Trump administration is floating a cut in the Social Security payroll tax as a measure to counteract a potential economic downturn related to the COVID-19 virus. It should go without saying that a public health crisis requires government interventions that have nothing to do with taxes. But even if policymakers want to find ways to stimulate the economy beyond solving the health crisis, the payroll tax cut is not likely to be very effective.
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blog
March 10, 2020
COVID-19 Is No Excuse for Airline Industry or Any Other Corporate Tax Cut
Trump administration officials have reportedly floated the idea of including tax breaks for the airline industry in its package of COVID-19-related stimulus proposals, which would allow airline companies to defer income taxes into the future. This is an odd policy choice since most of the biggest airlines are already using deferral to zero out most or all of their federal income taxes on billions of dollars in profits.
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blog
March 10, 2020
Taxes in a Time of Coronavirus
Some problems can only be solved when public officials have the resources to act. Today’s public health crisis is that kind of problem. Unfortunately, the Trump administration’s deep tax cuts leave our health infrastructure knee-capped, just when we need it most.
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blog
March 10, 2020
State and Local Cannabis Tax Revenue Jumps 33%, Surpassing $1.9 Billion in 2019
Excise and sales taxes on cannabis raised more than $1.9 billion in 2019. This represents a jump of nearly half a billion dollars, or 33 percent, compared to a year earlier. These are the findings of an ITEP analysis of newly released tax revenue data from the eight states where legal sales of adult-use cannabis took place last year.
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blog
March 9, 2020
TurboTax Is a Case Study for Why the IRS Should Administer Free File Program
TurboTax and other online tax preparation companies rely on complicating tax filing and limiting competition as part of their business model.
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blog
March 6, 2020
Talking Taxes in Alaska
Alaska’s tax system underwent major changes in the 1970s when oil was found at Prudhoe Bay. Lawmakers repealed the state’s personal income tax (making Alaska the only state ever to do so) and began balancing the state’s budget primarily with oil tax and royalty revenue instead. But as oil prices and production levels have declined, a yawning gap has opened between state revenues and the cost of providing vital public services.
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blog
March 4, 2020
State Rundown 3/4: Sun Shining on Progressive Tax Efforts This Week
Wisconsin’s expansion of a capital gains tax break for high-income households represents a dark spot on this week’s state fiscal news, and the growing threat of COVID-19 is casting an ominous shadow over all of it, but otherwise the picture is pleasantly sunny, featuring small steps forward for sound, progressive tax policy. An initiative to create a graduated income tax in Illinois, for example, got a vote of confidence from a major ratings agency, while a similar effort went public in Michigan and two progressive income tax improvements were debated in Rhode Island. Gas tax updates made encouraging progress in Alaska and Kentucky. And Hawaii leaders continued to work toward important Earned Income Tax Credit (EITC) and minimum wage improvements.