Welcome to Scribd, the world's digital library. Read, publish, and share books and documents. See more
Download
Standard view
Full view
of .
Save to My Library
Look up keyword
Like this
3Activity
0 of .
Results for:
No results containing your search query
P. 1
Tax Watch Spring 2012

Tax Watch Spring 2012

Ratings: (0)|Views: 1,184 |Likes:
Published by Tax Foundation
Tax Watch is the Tax Foundation's quarterly tax policy newsletter, presenting our economic research and analysis in a simple, non-technical format—ideal for the non-economist looking for a clear explanation of current tax issues.
Tax Watch is the Tax Foundation's quarterly tax policy newsletter, presenting our economic research and analysis in a simple, non-technical format—ideal for the non-economist looking for a clear explanation of current tax issues.

More info:

Published by: Tax Foundation on May 24, 2012
Copyright:Attribution Non-commercial

Availability:

Read on Scribd mobile: iPhone, iPad and Android.
download as PDF, TXT or read online from Scribd
See more
See less

05/24/2012

pdf

text

original

 
GUEST COLUMNIST:
Senator Ron Wyden (D-OR)
“Bipartisan, Comprehensive Tax Reform Will Restore America’s Competitive Edge 
Constitutionality of Healthcare Reform:
Individual Mandate beyond Taxing Power of Congress
SPRING 2012
Inside this Issue:
Mitt Romney’s Tax PlanWhich States are Best for BusinessMeal Taxes in Major U.S. Cities
 
ii
 
TAX
Watch
 
 
SPRING 2012
STAFF
Scot Hodge
President
Carer DeWit
Vice President, Development
Scot Drenkard
Economist
Liz Dunlap
Senior
Development Associate
Will Freeland
Economist
 Joseph Henchman
Vice President,Legal and State Projects
Donald Johnson
Publications Manager
Nick Kasprak
Programmer and Analyst
Laura Lieberman
Law Clerk
Will McBride
Economist
Richard Morrison
Manager of Communications
Mark Robyn
Economist
Michael Vogler
Director of Government &Corporate Relations
SPRING
2012 INTERNS
Richard BoreanCarolina CelnikI. Harry DavidKevin Duncan Jordan KingAlex Raut
Tax Watch (ISSN 1552-924X) is publishedfour times per year by the Tax Foundation inWashington, D.C., a nonprofit, nonpartisanresearch organization that has monitoredtax policy at the federal, state and locallevels since 1937.The Tax Foundation is a 501(c)(3) nonprofitorganization that relies on tax-deductiblecontributions for support.Please send correspondence to: Donald Johnson, Editor at Tax Watch, NationalPress Building, 529 14th Street, N.W.,Suite 420, Washington, D.C. 20045.Visit us on the web at www.taxfoundation.orgor call (202) 464-6200.©2012 Tax Foundation
Message from he Presiden
“I am hardpressed tounderstandhow highertaxes willchange anyof the vastdemographicdifferencesbetween therich and poorin America.”
Wha Does I Meano Have a “Fair” TaxCode?
T
here has been a lot of media attention lately to theissue of inequality, with various reports purport-ing to show the rich getting richer while the rest of America is stuck in neutral. My colleague Will McBridecountered these claims with his own study showing thatinequality today is no worse than it was during the latter partof the Clinton Administration. Indeed, he found that inequality rose much faster during the Clinton years than the Bush years,a fact the media has been slow to report on.Of course, it is easy to demagogue the “rich” if youfirst define them as faceless “millionaires and billionaires.”However, when we look beyond the political rhetoric and “puta face” on America’s wealthy taxpayers, we find that they areeverything we want Americans to be–married, educated, hard-working, older homeowners with business income.Demographic information is scarce on millionaires, butusing Census and IRS data, here is a basic profile of householdswith incomes above $200,000:

83 percent are married-couple families.

56 percent are between the ages of 45 and 65.

73 percent of these families have two or more earners.

78 percent have a bachelor’s degree or higher.

61 percent of high-income households have children.

91 percent own their own home.

 They earn 55 percent of all private business income (S corp, LLC, and soleproprietor).Meanwhile, low-income taxpayers tend to be the polar opposite of each of thesecharacteristics. They are: single; younger (although in some income bands there are anequal number of people over 65); they have high school degrees or less; and, they havepart-time jobs.While many in Washington, including President Obama, believe that raising taxes onthe rich will reduce income inequality in America, I am hard pressed to understand how higher taxes will change any of the vast demographic differences between the rich andpoor in America.Higher tax rates won’t make educated families less educated or older families any  younger. Though, I suppose it’s possible that raising taxes on the rich could convincesome second-earners (typically professional women) to leave the workforce or discour-age others from becoming entrepreneurs. But why would we want to do that?As we all know, when you raise taxes on something you get less of it. Why do wewant fewer intact married families who are educated and have business income?Sincerely,
Scott A. Hodge
President 
 
 
SPRING 2012
 
 
TAX
Watch
 
1
SPRING 2012
The Tax Foundation is an independent, nonpartisan and nonprofit research institutionfounded in 1937 to educate taxpayers, policymakers and the courts on sound taxpolicy. Our economic and policy analysis is guided by fundamental tax principlesthat should serve as touchstones for sound tax policy everywhere.
|
Center for Federal
|
Fiscal Policy
2
ax Freedom Day 2012
 
Te Efec o axes on EconomicGrowh and Income Inequaliy
4
Grading he PresidenialCandidaes: Mit Romney
6
ax Policy Calculaor - Updaedand Beter Tan Ever!
|
Center for State
 
|
Tax Reform
7
Which Saes are Bes orBusiness?
8
 
Facs & Figures: How Does YourSae Compare?
9
 
ax Foundaion NamedOrganizaion o he Year by Saeax Noes
10
 
Meal axes in Major U.S. Ciies
11
 
Sae o Sae AddressesRoundup
 
Sae esimony Roundup
|
Center for
|
Legal Reform
12
Supreme Cour Hears Challengeo Arbirary ax Reund Policy
13
ax Foundaion Brie: HealhCare Individual Mandae IsBeyond Congress’s axing Power
|
Highlights
14
Te ax Foundaion’s 74hAnnual Dinner was held onNovember 17, 2011
15
From he Archives: Praise rom1943
16
Mee our eaured member,David J.S. Nicholson
|
Tax Foundation in the 
|
News
16
Newspaper Roundup
|
Media & Outreach
19
Le’s Go o he Video: Makinghe Case or Corporae axReorm
20
ax Foundaion Media Ciaions
 
ax Policy Podcas Highligh
|
Guest Columnist
21
Senaor Ron Wyden (D-OR)Biparisan, Comprehensive axReorm Will Resore America’sCompeiive Edge
COVER PHOO: JOSEPH HENCHMAN, VICEPRESIDEN, LEGAL AND SAE PROJECS,ESIFIES ON AX CODE REFORM BEFOREHE SENAE FINANCE COMMIEECOVER PHOO © JAY MALLIN 2012
IN THIS ISSUE
1421

You're Reading a Free Preview

Download
/*********** DO NOT ALTER ANYTHING BELOW THIS LINE ! ************/ var s_code=s.t();if(s_code)document.write(s_code)//-->