Washington

It may be the off-season for state legislatures, but tax policy changes could soon emerge from the ballot box or the courts. Advocates in Arkansas want voters to decide the future of taxing diapers and feminine hygiene products, and supporters of public education in Nebraska are working to make sure voters have a say on the state’s school choice tax credit. Meanwhile, cannabis firms in Missouri are suing the state over cities and counties stacking sales tax on marijuana.

Seattle strives to support a social safety net for people in need and to uplift our diverse communities. Those services are too often financed by putting a disproportionate burden on those least able to afford it. Washington State ranks as having the most regressive tax system in the country. It doesn’t need to be that […]

The Dog Days of summer are upon us, and with most states out of session and extreme heat waves making their way across the country, it’s a perfect time to sit back and catch up on all your favorite state tax happenings (ideally with a cool drink in hand)...

Too many state and local governments tap legal-system collections, rather than adequate tax systems, to fund shared essentials like public safety and education. But a growing number of states and localities are choosing a better approach. Momentum for change has continued to build in 2023, with no fewer than seven states enacting substantial improvements.

Nearly one-third of states took steps to improve their tax systems this year by investing in people through refundable tax credits, and in a few notable cases by raising revenue from those most able to pay. But another third of states lost ground, continuing a trend of permanent tax cuts that overwhelmingly benefit high-income households and make tax codes less adequate and equitable.

The notion that we are better off allowing our corporations to pretend their profits are earned in the Cayman Islands or Ireland simply defies logic and the facts. There is no scenario in which the U.S. would be better by ditching the international agreement that the government already negotiated. 

Short-sighted tax cuts continue to make their way to Governors’ desks this week. In Florida, Gov. DeSantis signed a $1.3 billion tax cut package with $550 million of the tax cuts from sales tax holidays, alone. The Nebraska legislature also sent $6.4 billion in tax cuts to Gov. Pillen’s desk which includes an enormous personal income tax cut that will reduce taxes on the top 1 percent by tens of thousands of dollars.

This past week, in statehouses around the country, tax policy decisions are moving fast as budgets were signed and budget plans were released and passed...

This week the importance of state tax policy is center stage once again...

ITEP’s analytical approach, our comprehensive microsimulation model, and our unique state-level capacities enable us to do pioneering analyses that enrich the debate on racial justice in tax policy that no other entity can do.

With Tax Day quickly approaching it’s worth taking some time to reflect not just on tax forms (though those are important!), but also on the current state of state tax policy...

As Tax Day approaches, it’s worth thinking about not only the taxes that we individually pay but the overall condition of our tax code as well. State tax codes, while perhaps less discussed than the federal system, are critically important. Depending on how they are designed, state taxes can improve or worsen economic and racial […]

Over the past week Washington state saw a major victory for tax fairness after the state Supreme Court held the state’s capital gains tax—passed in 2021—constitutional...

In 2021, the Washington Legislature enacted a capital gains tax, levied at a rate of seven percent on the sale or exchange of certain long-term capital assets. Read more. (See pages 4 and 11 for ITEP citations)

State governments provide a wide array of tax subsidies to their older residents. But too many of these carveouts focus on predominately wealthy and white seniors, all while the cost climbs.

It’s March and state lawmakers are showing why the Madness isn’t only reserved for the basketball court...

Wealthy families are overwhelmingly the ones using school voucher tax credits to opt out of paying for public education and other public services and to redirect their tax dollars to private and religious institutions instead. Most of these credits are being claimed by families with incomes over $200,000.

The 2023 legislative session is in full swing, and dominos continue to be set up as others fall...