US 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.
The 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.
Congresswoman 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.
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.
The 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.
IRS 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.
The 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.
Senators 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.
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.
The cost of the average federal health insurance exchange premiums has gone down from $346 to $82, thanks to tax subsidies, US Department of Health and Human Services reports. In other tax news, senators Chris Murphy and Bob Corker proposed to raise the gasoline taxes.
Medtronic Inc.'s merger with Covidien PLC is an opportunity for the medical device maker to get tax cuts, writes Howard Gleckman. Why? Because Covidien's headquarters are in Ireland.
The House Judiciary Committee will vote on a bill to prevent states and cities from taxing internet access Wednesday. Meanwhile, US companies reportedly have about $2 billion in profits overseas.
The Ways and Means Committee sent the House a bill that has a 'job-killing exclusion' that would hurt growers of blueberries, raspberries, and other fruits from bushes, writes Howard Gleckman. How did this happen?
Gov. John Kasich proposed a $100 million tax cut to Ohio state legislature, but lawmakers turned it into a $500 million reduction in 2015 and $100 million every year after that. What does this mean for Ohio, in light of the states's 14 percent decline in tax collections?
The 2004 repatriation tax holiday may have made it easier for multinational corporations to polish their financial statements, a new study found. Howard Gleckman writes that the tax holiday wasn't a good idea in 2004, and is still a bad idea 10 years later.
House Majority Leader Eric Cantor says there will be three tax extender bills to vote on this week. The Senate Finance Committee will also hold hearings later this summer on comprehensive tax reform.
The House Ways and Means Subcommittee on Oversight will review review the government’s ability to verify income and insurance information when it comes to the Affordable Care Act’s tax credits and subsidies on June 10. Meanwhile, Spain joins a growing list of countries that wants to lower the corporate income tax.
Some states may have created a way for heterosexual couples to avoid the marriage tax penalty, writes Howard Gleckman. How can domestic partnerships lead toward the federal marriage tax penalty?
Ohio's legislature came up with a compromise bill on its income tax cut, while Japan is cutting its corporate tax. What does this mean for their finances?
EPA’s new greenhouse gas rules may open the door to a state-based carbon tax, Howard Gleckman writes. But, no one has mentioned the 't' word yet.