Publications -- Taxes

Oct 09, 2006

BA #574 – Killing the Death Tax

This summer, the Senate fell short of the super-majority needed to bring to a vote a measure permanently repealing the estate tax.

Sep 21, 2006

ST #289 – Wealth, Inheritance and the Estate Tax

It is commonly assumed that inheritances are a major source of wealth inequality and that the offspring of wealthy families tend to be as rich as their parents due to bequests.  This perception is one reason why many people support taxing estates at death.  But an individual's skills and personal choices are far more important in determining household wealth than inheritances.  In fact, the contribution of inheritance is surprisingly small.

Sep 11, 2006

BA #571 – The Alternative Minimum Tax Threatens Middle-Income Families

The Alternative Minimum Tax (AMT) enacted in 1978 was intended to tax the small number of wealthy individuals who, in any given year, legally owe no personal income tax due to the many exemptions allowed by the U.S. tax code.

Jun 06, 2006

BA #556 – We All Pay for the Estate Tax

Congress is debating repeal of the estate tax — again. The 2001 tax cuts included a gradual phase-out and full repeal of the estate tax in 2010. But due to the sunset provision imposed by federal budget rules, the estate tax will reappear at its full pre-reform rates in 2011. At that time, estates in excess of $2 million will be taxed at the old rates — up to 55 percent.

Jun 06, 2006

BA #555 – Taxing the Elderly

The Social Security benefits tax - while nominally a tax on Social Security benefits - is really a tax on other retirement income like pensions or personal savings. And it inflicts some of the highest marginal tax rates in the entire federal tax code.

Jun 06, 2006

BA #554 – Would You Benefit from a Roth IRA?

Millions of Americans are saving for retirement in 401(k)s and Individual Retirement Accounts (IRAs). These tax-deferred accounts allow people to invest pretax dollars, but require them to pay taxes on their deposits and accumulated earnings at the time of withdrawal. By contrast, a Roth account allows individuals to deposit after-tax dollars, but withdraw the accumulated balances tax-free.

May 25, 2006

BA #553 – Trade and Economic Growth, Part II

The period between 1950 and 2000 was the greatest half-century in human history in terms of the improvement of economic conditions and the betterment of life for the great majority of people. The last quarter of the 20th century was probably the best 25 years of all time from a strictly economic point of view.

May 25, 2006

BA #552 – Trade and Economic Growth, Part I

International trade - the essence of globalization - benefits the world economy as a whole. It allows people, regions and nations to specialize in the production of what they do best, to enjoy the economies of large-scale production and to buy more cheaply those things that others do best. Impediments to trade limit the benefits of trade.

Mar 23, 2006

ST #283 – Ten Steps to Reforming Baby Boomer Retirement

As 77 million members of the Baby Boom generation begin to retire, America is about to experience one of the most dramatic economic, sociological and demographic changes in its history. The institutions we have relied upon in the past are completely unprepared for what lies ahead.

Dec 21, 2005

BA #540 – The Defined Benefit Pension Crisis

America 's defined benefit pension plans are in crisis. Traditional defined benefit (DB) pensions are usually paid to retired employees based on years of work and final salary. Although still common at large companies, they have fallen out of favor at small and mid-sized firms. Virtually no new DB plans have been created in the last 10 years. Once the Cadillac of retirement plans, they are now the Edsels of employee benefits, as employers shift to defined contribution (DC) plans, such as 401(k)s.