With a budget that encourages consumption rather than savings, the gap between the American Dream and reality will only widen, some at the Tax Policy Center fear. One solution: Rethink those tax subsidies that too often hinder mobility in the name of enhancing it.
The need for fundamental federal tax reform is critical. Often overlooked, however, is the fact that any such reforms will also affect the tax and fiscal policies of state and local governments.
Our tax system is a mess and unless we send a clear signal to Congress to do something about it, it’s just going to get messier and messier.
The charade of annual or biennial debate about perpetually “expiring” tax provisions is terrible tax policy and a symbol of our failure to come to terms with budget reality.
Bush tax cuts: A tussle between Republicans and Democrats over the future of the Bush tax cuts played a large role in scuttling the congressional super committee's attempt to reach an agreement on reducing the budget deficit.