All Tax VOX
How is retirement saving changing for the future?The Treasury Department announced that it would allow people to shift a portion of their 401(k)s or IRAs into a deferred annuity that provides a guaranteed stream of income once people reach old age. What does that mean for the future of retirement saving?
What is so controversial about tax inversions in US?President Barack Obama and other politicians have said US-based multinational corporations who move their corporate addresses are unpatriotic. What is so controversial about tax inversions, Howard Gleckman asks, and is it really unpatriotic?
Has US created a two-tier tax system based on wealth?The US's tax system is turning into a two-tier tax system, with wealth as the determining factor, writes Howard Gleckman. Many affluent and influential people and organizations have almost unlimited power when it comes to their taxes.
Why states should have expected tax payments to fallIn several states, some governors were caught off guard by how personal income tax payments fell well below expectations. But, states should not have been so surprised, writes Norton Francis.
The winners – and losers – in race to ban inversionsAs Congress tries to ban the practice of inversions – when US based multinationals merge with foreign firms to lower their tax bill – it actually puts Congress and US corporations on a destructive path, writes Howard Gleckman. What does that mean for reform within US corporate tax system?
Congressional Budget Office's budget outlook shows problems still lingerThe Congressional Budget released its long-term budget outlook. Although the size of the US deficit isn't a problem right now, the CBO projects it to get bigger after a few years. There are five other takeaways from the CBO's budget outlook.
Kansas tax cuts caused tax revenues to fall 11 percent. What's next?Between June 2013 and June 2014, Kansas saw its tax revenue fall by 11 percent. Why is Kansas still making so many tax cuts then, questions Howard Gleckman.
Why the Highway Trust Fund gimmicks need to stopCongress needs to start being realistic and serious about the future of the Highway Trust Fund, writes Howard Gleckman. Although the Highway Trust Fund worked in the past, it is time for a long-term solution – not just pension smoothing and other gimmicks.
Pensions and tax bases: What to look out for in taxes this week.The House Ways and Means Committee will vote on how to fix Highway Trust Fund on Thursday. In Flint, Michigan, the city wants to cut its retirees' health benefits to avoid bankruptcy.
Is Dave Camp's tax reform plan different from the current law?Analysis of House Ways and Means Committee Chair Dave Camp's tax reform plan shows that the plan would raise the same amount of money in 10 years as the current law, writes Howard Gleckman. Still, the long-term effects aren't completely certain yet.
How can tax benefits for retirement saving become more fair?Regressive distribution of tax benefits for retirement saving calls for reform, writes Ben Harris. To do so, he staged a simulation of different types of tax reforms for retirement saving so it is equitable for all levels of income.
Obama's 2015 tax plan will cut working class's taxes, new estimates showUS President Barack Obama's 2015 tax plan will translate to cutting taxes for the US's working class while having the wealthiest Americans pay more, according to new estimates. The poorest 20 percent in households will see their after-tax income increase by 0.7 percent, while the top 20 percent's income after taxes will decrease by 1.2 percent.
Math error costs US Treasury $5 billion in lost tax revenueThe US Treasury will lose $5 billion in lost revenue over the next decade. Why? Congress used the wrong math formula for the Social Security and Medicare payroll tax.
Child tax credit expansion has good intentions, but still far off from big issuesCongresswoman Lynn Jenkins's proposal for expanding the child tax credit is on the right track, writes Elaine Maag. However, Jenkins's plan miss the mark on some key issues with the child tax credit.
Think you know fiscal policy? Online budget game lets players try.The Committee for a Responsible Federal Budget has created an updated online budget simulator. The public plays the online game with the objective to stabilize the debt at 60 percent of Gross Domestic Product by 2024.
Child tax credit gets extended, while higher education tax breaks receive approvalThe House Ways and Means Committee approved expanding the child tax credit and higher education tax breaks. In other tax news, H&R Block offers a map outlining state income tax requirement to help same-sex couples' IRS filings.
Tax brief: IRS lost email investigation continues, while gas tax could be phased outIRS commissioner John Koskinen appeared before the House Oversight and Government Reform Committee on the loss of former Treasury official Lois Lerner’s emails and crash of her hard drive. Meanwhile, the federal gasoline tax could be phased and leave the Highway Trust Fundthe House Ways and Means Committee plans to vote on indexing the $1,000 child tax credit.
IRS emails, student debt, and Spain's corporate tax: The week ahead in tax newsThe House Oversight and Government Reform Committee will begin its two-part hearing on missing IRS emails today. Tomorrow, the Senate Finance Committee will examine the role of the tax system in reducing student debt.
Raising gas tax to pay transportation projects? Good idea, but skip the budget gimmickSenators Bob Corker (R-TN) and Chris Murphy (D-CT) proposed a gas tax raise to pay for transportation projects. They had a good idea, but they are ruining it with restoring $190 billion in targeted tax breaks, writes Howard Gleckman.
What concerns small business more: tax laws or actual taxes?Small business owners worry more about state and local tax laws than how much they have to pay in taxes, a survey has found. How small business owners perceive the compliance of regulations determines if they consider the area business-friendly.
