Tax — Federal
The Ryan Budget's Tax Cuts: Nearly $6 Trillion in Cost and No Plausible Way to Pay for It
New Tax Policy Center Estimates Show $5.7 Trillion Revenue Loss
"The new budget from House Budget Committee Chairman Paul Ryan proposes a series of dramatic tax cuts that would cost nearly $6 trillion in lost federal revenue over the next decade, and that would provide the lion's share of their benefits to high-income households and corporations. But, despite its stated promise to the contrary, the budget does not include a plausible way to pay for it all.
"Even with sweeping and implausible reductions in tax expenditures for high-income filers, policymakers could not achieve the tax cut goals in the Ryan plan without either adding to the deficit or raising taxes on households with incomes below $200,000 to fill the revenue hole."
- Tax Expenditures: Ripe for Reform, Needed for Deficit Reduction
- Greenstein Testimony: Putting the Budget on a More Sustainable Fiscal Course Without Hindering Economic Recovery
- $1.5 Trillion in Deficit Savings Would Stabilize the Debt Over the Coming Decade
- Commentary: A Look at the New Simpson-Bowles Plan
- Greenstein Testimony: Deficit Reduction About Quality, Not Just Quantity
- The Perils of Achieving Further Deficit Reduction Solely Through Spending Cuts
- Greenstein Commentary: Big Dangers Ahead for the Economy, the Budget, and Low-Income People
- The Next Act: Further Deficit Reduction Must Include a Mix of Revenues and Spending Cuts
The income tax on individuals and the payroll tax, which is deducted from workers’ wages and used to help finance Social Security and Medicare, each made up about 40 percent of federal revenues in 2010. The federal government also collects revenue from corporate taxes, excise taxes, and other sources.
The Center analyzes major tax proposals, examining their likely effects on the economy and on the government’s ability to address critical national needs, especially over the long term. We place particular emphasis on the effects of tax proposals on households at different income levels. In addition, we analyze trends in the level of federal revenues, income distribution, and tax burdens.
June 19, 2013
June 19, 2013
Benefit Restrictions Beyond Those in Senate Immigration Bill Would Jeopardize Legalization for Many and Risk Severe Hardships for Others
June 14, 2013
May 9, 2013
April 30, 2013
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