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14.8% Individual Income Tax and 16.1% Corporate Income Tax Coming To New York City?

Ten months into New York’s just-ended fiscal year (most recent data), state tax revenue was actually up year-over-year. By a miniscule amount—it’s probably best to see FY 2021 revenue as essentially flat—but up nonetheless, it’s a curious backdrop for a proposal to raise both individual and corporate income taxes. If a tentative budget agreement goes […]

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Where State Unemployment Compensation Trust Funds Stand in December

With 2020 nearing its close, state unemployment compensation trust funds continue to struggle under the weight of so many pandemic-created beneficiaries, though some funds are beginning to stabilize as people increasingly return to work. As of December 17th, 20 states and the U.S. Virgin Islands have drawn a collective $44.3 billion in Title XII Advances—federal […]

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State Tax Collections Down 4.4 Percent Through September, While Local Tax Collections Rise

State tax collections declined 4.4 percent in aggregate through the end of September compared to the same nine months in 2019, according to U.S. Census Bureau data released today. The median state experienced a decline of 3.6 percent, and total state tax collections were $37.4 billion lower in the first nine months of 2020 than […]

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Prospects for Federal Tax Policy After the 2020 Election

As Americans receive more clarity on the outcome of the 2020 presidential and congressional elections, the prospects for federal tax policy headed into 2021 are also becoming clearer. A Biden administration may have to work with a Republican Senate majority (pending the results of runoff elections in Georgia) and a Democrat-controlled House to navigate various […]

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State Income and Sales Tax Revenues Slide in Second Quarter

Today marked the release of both second-quarter GDP and national accounts data and provides a new glimpse into early changes in state and local revenues and spending. All told, second-quarter (Q2) state and local tax receipts came in about 3.8 percent lower than they did in the same quarter a year ago. Income and sales […]

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Tax Options to Promote Short-Term Recovery and Long-Term Economic Growth in Wisconsin

Wisconsin, like every state, is experiencing a great deal of economic uncertainty amid the COVID-19 pandemic. States will need to use caution as they make revenue and spending decisions amid the ongoing public health crisis, but tax policy can play a valuable role in a state’s economic recovery, and policymakers ought to give careful consideration […]

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State Forecasts Indicate $121 Billion 2-Year Tax Revenue Losses Compared to FY 2019

Key Findings Extrapolating from recently revised state revenue forecasts yields an estimated nationwide $121 billion decline in state tax collections across FYs 2020 and 2021 against a FY 2019 baseline, and $191 billion compared to initial tax revenue projections for those two years. These estimates are consistent with the results of other recent analyses, and, […]