National Tax Journal articles from September 2008

National Tax Journal archives from September 2008

The 2001 and 2003 tax rate reductions: an overview and estimate of the taxable income response.
September 1, 2008... INTRODUCTION The Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA) and the Jobs and Growth Tax Relief Reconciliation Act of 2003 (JGTRRA) which are the focus of this paper, incorporated the main elements of the Bush...

Distributional effects of the 2001 and 2003 tax cuts: how do financing and behavioral responses matter?
September 1, 2008... INTRODUCTION Distributional analysis has long been a central element in discussions of tax policy. However, standard methods of estimating the distributional effects of tax changes omit two potentially important factors: the financing of...

The effect of the May 2003 dividend tax cut on corporate dividend policy: empirical and survey evidence.
September 1, 2008... INTRODUCTION In December 2002, the Bush administration floated a radical proposal to reduce the taxation on dividends to zero. The official motive behind the proposal was to give the economy a boost by increasing investors' disposable...

Taxation of capital and labor: the diverse landscape by entity type.
September 1, 2008... INTRODUCTION The purpose of this paper is to derive standardized measures of labor and capital income that account for the different reporting requirements and levels of compliance faced by different forms of organization. Such an exercise...

Tax policy and sole proprietorships: a closer look.
September 1, 2008... INTRODUCTION The businesses and self-employed individuals represented by the 21 million sole proprietorship forms filed with individuals' income tax returns for 2005 represent a wide variety of economic activity: mom and pop grocery...

The taxation of carried interest: understanding the issues.
September 1, 2008... INTRODUCTION In the spring of 2007, a then-unpublished law review article by Victor Fleischer helped turn an obscure aspect of partnership taxation into a contentious tax policy issue. Intense media and political debate took place on the...

Foreign income and domestic deductions.
September 1, 2008... INTRODUCTION Income tax systems, such as that used by the United States, permit taxpayers to claim deductions for expenses incurred in the course of earning income. Thus, a taxpayer who spends $100 on labor and materials to produce output...

Energy tax incentives and the alternative minimum tax.
September 1, 2008... INTRODUCTION Energy-related subsidies in the federal tax system are under increasing scrutiny. Some note that the tax system provides large subsidies to oil and gas producers at a time when we should be reducing our consumption of fossil...

A tax-based approach to slowing global climate change.
September 1, 2008... "The U.S. must engage in an energy efficiency program that takes effect without delay and has meaningful bite. As long as developing countries can point to the U.S. as a free rider there will not be serious dialogue about what they are willing...

Social policy and the U.S. tax code: the curious case of the low-income housing tax credit.
September 1, 2008... INTRODUCTION Much of the federal tax code, particularly the numerous carve-outs of credits and deductions from the personal income tax, was created to support various social policy goals. Currently, the tax code provides favorable...

State and local finances and the macroeconomy: the high-employment budget and fiscal impetus.
September 1, 2008... INTRODUCTION Once again, states and localities are facing budgetary pressures and may be forced to take action to get their fiscal houses in order. Indeed, as measured in the National Income and Product Accounts (NIPA), the sector has...

The crisis in state and local government statistics.
September 1, 2008... Robust statistical systems produce products that are important to understanding the changing state of the economy and to formulating sound policy. But statistical systems, like physical infrastructures, become obsolete or depreciate with time...

The connection between house price appreciation and property tax revenues.
September 1, 2008... INTRODUCTION In the wake of the real estate boom in the first half of this decade, the property tax revenues of local governments soared, growing 50 percent faster from 2001 through 2005 than they did from 1996 through 2000. (1) More...