Institute on Taxation and Economic Policy (ITEP)

Alabama

State Rundown 12/10: ‘Tis the Season to Reclaim Lost Revenue

property tax debates are taking place throughout the nation.

Linking to Tipped and Overtime Income Deductions Would Worsen State Shortfalls, Do Little to Help Workers

State deductions for tips and overtime are not only ineffective at supporting working-class people, it will come at a substantial cost to state budgets.

State Rundown 11/24: States Say ‘No Thank You’ to Federal Tax Cuts Reducing State Revenue

Lawmakers in two more states have wisely said “no thank you” to federal tax cuts that would have flowed through to their state tax codes and undermined funding for their priorities

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States Begin Decoupling from Flawed ‘QSBS’ Tax Break

November 6, 2025 • By Nick Johnson, Sarah Austin

States Begin Decoupling from Flawed ‘QSBS’ Tax Break

A costly tax break for wealthy venture capitalists is drawing some critical attention from state policymakers.

Quite Some BS: Expanded ‘QSBS’ Giveaway in Trump Tax Law Threatens State Revenues and Enriches the Wealthy

States should decouple from the federal Qualified Small Business Stock (QSBS) exemption.

State Rundown 9/4: Colorado Tackles Offshore Corporate Tax Avoidance, Paves Way for State Conformity Best Practices

Despite an increasingly bleak state revenue outlook, state lawmakers across the country continue to prioritize regressive tax cuts.

Trump’s Tax Law Clobbers State Budgets. Now’s the Time to Prepare.

The Trump megabill hands the richest 1% a trillion-dollar windfall while gutting funding for health care, education, and disaster relief — leaving communities to pick up the pieces. State and local leaders must step up, tax the wealthiest fairly, and safeguard the essentials that keep America healthy, educated, and safe.

State Rundown 7/24: States Begin Preparing for Federal Megabill Fallout

All eyes in statehouses in recent weeks have been on federal budget negotiations, and now that the “megabill” has passed, they are focused in on their own budgets in search of ways to cope with the enormous consequences coming their way. All states will see fewer federal dollars flowing through their coffers, higher needs due […]

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How Will the Trump Megabill Change Americans’ Taxes in 2026?

July 22, 2025 • By Steve Wamhoff, Michael Ettlinger, Carl Davis, Jon Whiten

How Will the Trump Megabill Change Americans’ Taxes in 2026?

The megabill will raise taxes on the poorest 40 percent of Americans, barely cut them for the middle 20 percent, and cut them tremendously for the wealthiest Americans next year.