Taxes

Worldwide Combined Reporting: Details & Analysis Skip to content Home • Blog • Leave Worldwide Combined Reporting in the ‘80s, Where It Belongs Given enough time, everything old is new again—including taxA tax is a mandatory payment or charge collected by local, state, and national governments from individuals or businesses to cover the costs of

Business in Europe: Framework for Income Taxation (BEFIT) Skip to content Home • Blog • BEFIT: One-Stop-Shop or One-More-Stop? On 12 September, the European Commission released a proposal called “Business in Europe: Framework for Income TaxA tax is a mandatory payment or charge collected by local, state, and national governments from individuals or businesses to

Presented by: Manish Bhatt Brad Scott On October 5th, the Tax Foundation is hosting a webinar to discuss the new sales tax environment created by the 2018 Wayfair Supreme Court decision—and how state policymakers should respond. The Supreme Court’s Wayfair decision overturned precedent and ushered in a new era of remote seller and marketplace facilitator

Electric Vehicles: EV Taxes by State: Details & Analysis Skip to content Table of Contents U.S. states fund most of their road and infrastructure budgets with revenues from gasoline taxes. The historical rationale behind this is intuitive. The more people use public roads, the more gasoline they consume, making the gas taxA gas tax is

US Debt & Deficits: Reforms to Federal Budget & Spending Skip to content Key Findings The federal government’s debt is $33 trillion and rising; budget deficits are projected to grow substantially over the next decade, reaching $2.7 trillion in 2033, or 6.4 percent of gross domestic product (GDP). Debt held by the public will rise

SALT Cap Repeal Benefits High-Income Earners, Data Shows Skip to content Home • Data • Federal Taxes • County Data Shows Repealing SALT Cap Would Benefit High-Income Earners The $10,000 state and local tax (SALT) deductionThe state and local tax (SALT) deduction permits taxpayers who itemize when filing federal taxes to deduct certain taxes paid

EBITDA vs. EBIT: Business Interest Limitation Deduction Skip to content Home • Blog • U.S. Businesses Face Growing Impact from Tightened Interest Deductions and Higher Interest Rates As Congress continues its work on the fiscal year 2024 appropriations process and associated tax provisions, it should consider an often-overlooked taxA tax is a mandatory payment or

State Semiconductor Incentives: Details & Analysis Skip to content Home • Blog • States Enact Semiconductor Subsidies in the Wake of CHIPS Federal policymakers enacted the CHIPS and Science Act last year to provide $280 billion of incentives for domestic semiconductor investment and research and development (R&D). Unfortunately, the many drawbacks of the industrial policy

This is part of our educational blog series, “The Short Form,” to simplify tax issues and explore the world through the lens of tax policy. Learn more about taxes with TaxEDU. Politicians often bemoan the trade deficit, but their disdain for this economic statistic is largely misplaced. The trade deficit reflects deeper choices about how we

How the U.S. Can Piece Together a Solution for Pillar Two Skip to content Home • Blog • How the U.S. Can Piece Together a Solution for Pillar Two One of the great skills of competitive sports is salvaging a narrow win—or at least, a draw—from a lost position. The U.S. may need to activate

Should municipal payments to a taxpayer under a public-private financing agreement be considered a tax rebate? This question is now before the Supreme Court of California, and the answer could impact tax policy and municipal financing. The details are technical, but the implications are potentially broad: if the courts endorse an expansive view of tax

The Inflation Reduction Act (IRA) is an ambitious law with worthy goals to reduce deficits, fight inflation, help the IRS, and combat climate change. However, one year after its enactment, there are concerns about its overall fiscal impact, the additional complexity it introduces to the tax system, and the sustainability of its initiatives. Will McBride,

What can Former President Trump’s previous tariff efforts—specifically the safeguards he authorized on imported washing machines in 2018—tell us about his most recent proposal for a 10 percent tariff on all imports? That each job saved would come at a severe cost to consumers and taxpayers. The U.S. International Trade Commission (ITC) recently released an

Key Findings Pillar Two, an international tax agreement, is intended to incentivize countries to set corporate income tax rates at 15 percent or higher. This agreement threatens the U.S. tax base in two ways: potential lost revenue and limitations on Congress’s ability to set its own tax policy. We analyze the revenue effects of other

In 2017, Congress made several permanent changes to the taxation of foreign earnings. These changes included an end to the unlimited deferral of foreign earnings from U.S. taxable income and the introduction of new anti-avoidance rules alongside a dividends-received deduction for corporations. A major case pending before the U.S. Supreme Court (Moore v. United States)

Bermuda, long celebrated for its pristine beaches and offshore financial services, is embarking on a journey to recalibrate its tax mix. Spurred by the OECD’s Pillar Two initiative, the island will introduce its first-ever corporate income tax in 2025. At first glance, supporters of the OECD’s global tax deal may see this development and declare

This week’s tax map illustrates the variety of vaping and electronic nicotine delivery systems (ENDS) tax designs employed by U.S. states. Higher taxes on vaping and ENDS products discourage smokers from switching to vaping products. Since vaping entered U.S. markets roughly two decades ago, it has grown into a well-established product category and a viable

Throwback and throwout rules are obscure provisions of states’ tax codes, but these little-known rules have real economic consequences. Fortunately, states are increasingly repealing these economically harmful rules. Since 2020, Alabama, Louisiana, Missouri, Vermont, and West Virginia have all abolished throwback or throwout rules, with Arkansas adopting a multi-year phaseout and other states—especially Oklahoma—seemingly poised

Despite evidence that place-based tax incentives have been largely ineffective in raising the economic fortunes of people in low-income neighborhoods, an undeterred Congress created Opportunity Zones (OZs) in the 2017 Tax Cuts and Jobs Act. A recent analysis by economists at Treasury’s Office of Tax Analysis cautions that while it’s too soon to reach conclusions

Former President Donald Trump’s proposed 10 percent tariff would raise taxes on American consumers by more than $300 billion a year—a tax increase rivaling the ones proposed by President Biden. If implemented, the significant trade tax hike would trigger retaliatory tax increases on U.S. exports. International trade is vital to the United States. Each year,