Taxes

Will Democratic plans to extend this year's reduction in the payroll tax rate hand the GOP a long-term weapon to use in trying to undermine the program?

Will Democratic plans to extend this year's reduction in the payroll tax rate hand the GOP a long-term weapon to use in trying to undermine the program?

A simple rule meant to cut paperwork for U.S. companies has grown into one of the biggest multinational tax breaks around, costing the United States and other governments billions of dollars in lost taxes each year.

Going beyond classic "he said, she said" reporting to deliver evidence that rates cut by Clinton and then Bush are yielding increasing income inequality. Evidence-based reporting debunks rationalizations for treating investment more favorably than earned income.

A refreshing departure from the standard "he said, she said" model that assesses whether any evidence supports a new corporate tax holiday proposal. Reporter serves readers by standing outside the framework of corporate talking points, providing historical perspective.

Following large first-quarter earnings announcements from major oil companies, Senate Finance Committee Chair Max Baucus announced plans to introduce legislation to end tax incentives for the largest oil and gas companies, and President Obama renewed his call to eliminate those benefits for the entire industry.

Miss this when it was first reported? What if, instead of persistently undercutting each other, states banded together in interstate agreements? What if they agreed on a common floor for environmental or business regulations? What if states agreed not to fish for jobs in their neighbor’s pond, or sought region-wide revenue increases that would eliminate the fear of being left behind or outgunned?

The "curse" of state reliance on high earners to pay a big share of taxes leaves states "starved for revenue in a bust.” The "root" of California’s woes is "its reliance on taxing the wealthy.” Claims like these mean that a recent Wall Street Journal article will undoubtedly be brandished in tax fights. But the story doesn't add up. And, interestingly, one needn’t go beyond the four corners of the Journal’s “Saturday Essay” feature to figure that out.