The Deduction

What if we told you businesses are spending over half a billion dollars just to tackle tax compliance? In this episode, we examine the shocking rise in compliance costs, totaling $537 million for a sample of 21 large multinationals. We'll discuss key factors driving this increase, including recent changes like the Tax Cuts and Jobs Act, the new corporate alternative minimum tax, and how compliance costs hit smaller businesses hardest. William McBride, Vice President of Federal Tax Policy and Stephen J. Entin Fellow in Economics, joins Kyle Hulehan to explore potential reforms to simplify the tax code and reduce compliance burdens. Links: https://taxfoundation.org/research/all/federal/us-business-tax-compliance-costs-survey/ Support the show Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

What do the contrasting tax proposals of Vice President Kamala Harris and former President Donald Trump mean for Americans as the 2024 election approaches? In this episode, we dive into the Tax Foundation's modeling of both candidates' plans, shedding light on how these proposals could impact Americans. Joining Kyle Hulehan is Erica York, Senior Economist and Research Director. Together, they'll chat about the major economic implications of each candidate’s proposals, from national debt to economic growth. Links: https://taxfoundation.org/research/all/federal/kamala-harris-tax-plan-2024/ https://taxfoundation.org/research/all/federal/donald-trump-tax-plan-2024/ https://taxfoundation.org/research/federal-tax/2024-tax-plans/ https://taxfoundation.org/blog/trump-overtime-tax-exemption/ Support the show Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

What are the key challenges facing global tax policy today? Bob Stack, an international tax expert, explores the implications of the EU’s adoption of Pillar Two and the potential for streamlining overlapping policies. He also addresses the issues that the US faces in global tax policy with the upcoming elections. In this insightful discussion, Bob dives into these pressing issues, drawing on his extensive experience at the US Department of the Treasury. He offers valuable insights into the OECD Inclusive Framework and the transformative Pillar Two. Links: https://taxfoundation.org/blog/pillar-two-unintended-consequences/ https://taxfoundation.org/blog/global-tax-agreement/ Support the show Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

While tax policy was almost nonexistent in the first debate between Vice President Kamala Harris and former President Donald Trump, this episode will explore each candidate’s latest proposals in greater depth. We’ll break down Kamala Harris's updated tax plan, highlighting her capital gains adjustments and new deductions for startups. We’ll also take a closer look at Trump’s plans for tax cuts and tariffs, discussing what they could mean for American families and businesses. Erica York, Senior Economist and Research Director, joins Kyle Hulehan to discuss the debate. We’ll highlight the key issues likely to be discussed and consider the serious implications for national debt and economic growth. Links: https://taxfoundation.org/research/all/federal/donald-trump-tax-plan-2024/ https://taxfoundation.org/research/all/federal/kamala-harris-tax-plan-2024/ https://taxfoundation.org/research/federal-tax/2024-tax-plans/ Support the show Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

Dive into the highlights from the DNC as we break down Vice President Kamala Harris's tax proposals and their potential impact on everyday families. What do higher taxes on businesses and the wealthy mean for working Americans? Erica York, Senior Economist and Research Director, joins Kyle Hulehan to examine her VP pick, Tim Walz, and how his progressive tax policies have shaped Minnesota's economy. Plus, we’ll take a closer look at Harris's child tax credit expansion. Links: https://taxfoundation.org/blog/harris-child-tax-credit-economic-agenda/ https://taxfoundation.org/blog/tim-walz-tax-policies/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

How does living abroad impact the taxes an American has to pay? Unlike most countries that tax based on residency, the US employs citizenship-based taxation, meaning Americans are taxed on their global income regardless of where they reside. This unique system creates a web of complexities, including stringent reporting requirements and potential penalties, which can leave many US citizens feeling overwhelmed. In this discussion, Marylouise Serrato from American Citizens Abroad, joins Kyle Hulehan to explore the implications of FATCA for Americans living outside the United States. Together, they’ll unpack the compliance hurdles and misconceptions surrounding US tax obligations abroad, offering insights on the future of tax policy and its impact on the global American community. Links: https://www.americansabroad.org/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

The global tax deal and Pillar Two are shaking up the tax landscape worldwide, introducing a web of complexity and confusion. Today, we untangle the key aspects of these proposals, diving into the latest updates, compliance hurdles, and their ripple effects on industries and smaller nations. Join Daniel Bunn, President & CEO of the Tax Foundation, and Senior Economist Alan Cole, as they sit down with Kyle Hulehan to explore what the future holds for global taxation and what it means for the United States. Links: https://taxfoundation.org/blog/global-tax-agreement/ https://taxfoundation.org/blog/pillar-two-flaw/ https://taxfoundation.org/taxedu/glossary/oecd-pillar-2-global-minimum-tax/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

Tax cuts vs. tax reform: what’s the real difference, and why does it matter? In this episode, we uncover why retroactive tax cuts and temporary tax breaks often miss the mark for long-term growth and how revenue-neutral tax reform can streamline the tax system without altering overall federal revenue. Erica York, Senior Economist and Research Director at the Tax Foundation, joins host Kyle Hulehan to reveal the true impact of tax policies on households and businesses and discuss how changes in marginal tax rates drive economic decisions. Links: https://taxfoundation.org/blog/unified-theory-misconceptions-tax-reform-debate/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

Taxing wealth has become a hot-button issue in today’s political discourse, promising to reshape economic equality. But what are the real-world implications of such policies? In this episode, we dive into the contentious world of taxing wealth, examine how a progressive tax system aims to balance fairness and revenue generation, and explore the potential impacts and broader implications for economic policy and social equity. Garrett Watson, Senior Policy Analyst and Modeling Manager at the Tax Foundation, joins Kyle Hulehan to dissect the fundamentals of taxing wealth. They discuss the challenges of implementation, potential long-term consequences for the broader economy, and alternative policy options that could achieve progressivity while maintaining economic growth. Links: https://taxfoundation.org/blog/taxing-consumption-progressively-tax-the-wealthy/ https://taxfoundation.org/blog/federal-tax-code-progressive-rich/ https://taxfoundation.org/blog/us-pandemic-response-inequality-progressivity/ https://taxfoundation.org/research/all/federal/tax-fairness-funding-government-investments/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

Tariffs are a hot topic this election cycle for both President Biden and former President Trump. But why are tariffs so popular despite their economic downsides? In this episode, we unpack tariffs’ role in the political playbook, their impact on manufacturing jobs and consumers, and the Biden administration's review of Trump-era tariffs. Erica York, Senior Economist and Research Director at the Tax Foundation, joins Kyle Hulehan to break down the basics of tariffs, explore historical tariff failures, and discuss the potential long-term effects of maintaining or increasing tariffs. Links: https://taxfoundation.org/research/all/federal/section-232-tariffs-steel-aluminum-2024/https://taxfoundation.org/blog/biden-tariffs-china/https://taxfoundation.org/blog/trump-biden-protectionism/https://taxfoundation.org/blog/biden-trump-tariffs/https://taxfoundation.org/blog/retaliatory-tax-trade-policies/https://taxfoundation.org/blog/trump-china-trade-war-proposal/https://taxfoundation.org/topics/tariffs-and-trade/https://taxfoundation.org/research/all/federal/tariffs-trump-trade-war/https://taxfoundation.org/blog/donald-trump-10-percent-tariff/Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

Get ready to hit the autobahn and explore the world of German taxes! We'll navigate the complexities of Germany’s corporate tax structure, including the combined federal and local rates, and unravel the complexities of local trade taxes and the real estate transaction tax, exploring their impact on businesses and property investments. Alex Mengden, Global Policy Analyst, joins Kyle Hulehan to discuss Germany's unique federal system shaping state and local taxes, the intricacies of the value-added tax (VAT), and the substantial labor tax burden. Links: https://taxfoundation.org/data/all/eu/germany-trade-tax-rates/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

Buckle up as we navigate the twists and turns of infrastructure and road funding. As electric vehicles gain traction, traditional gas taxes are running out of fuel to support our infrastructure budget. Today, we're exploring how Vehicle Miles Traveled (VMT) taxes pave a more equitable and sustainable path for funding road maintenance and construction. Adam Hoffer, the Director of Excise Tax Policy, joins Kyle Hulehan to unpack the challenges and opportunities of VMT taxes. They will explore the innovative technologies used for mileage tracking and address the significant privacy concerns involved. Links: https://taxfoundation.org/research/all/federal/road-funding-vehicle-miles-traveled-tax/ https://taxfoundation.org/taxedu/glossary/gas-tax/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

All taxes tell a story, and today we’ll explore how taxes influenced Bob Dylan's decision to sell his music catalog, how the "chicken tax" reshaped the auto industry, and how the historic "tax on air and light" had profound effects on architecture and living conditions. Scott Hodge, President Emeritus & Senior Policy Advisor at the Tax Foundation, joins host Kyle Hulehan to discuss his new book, Taxocracy: What You Don’t Know About Taxes and How They Rule Your Daily Life. Links: https://www.amazon.com/Taxocracy-What-About-Taxes-Daily/dp/B0CL3BXBVS Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

All Americans are affected by the tax code—but do they understand the tax code? To find out, the Tax Foundation’s educational program, TaxEDU, and Center for Federal Tax Policy conducted a poll with Public Policy Polling. The poll surveyed more than 2,700 U.S. taxpayers over 18 years old—spanning the political spectrum and income distribution—to gauge Americans’ knowledge of basic tax concepts and opinions of the current tax code. The results: most Americans are confused by and dissatisfied with the federal tax code. Links: https://taxfoundation.org/blog/national-tax-literacy-poll-education/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

In the context of the 2024 election year, what does President Biden's 2025 budget proposal signify regarding his strategies and priorities as he seeks reelection? And how could these proposals shape the overall landscape of this election cycle? Garrett Watson, Senior Policy Analyst and Modeling Manager at the Tax Foundation, joins Kyle Hulehan to discuss the president’s plan—from raising the corporate tax rate to implementing a billionaires' tax—and the longstanding flaws in the budget process. Links: Taxing Consumption Progressively Is a Better Way to Tax the WealthyHow Taxing Consumption Would Improve Long-Term Opportunity and Well-Being for Families and ChildrenTax Calculator: How the TCJA’s Expiration Will Affect YouDetails and Analysis of Making the 2017 Tax Reforms PermanentHow to Rein in the National Debt Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

Today, we're examining the differences between the broad incentives provided by the Tax Cuts and Jobs Act and the targeted approach of the Inflation Reduction Act and the CHIPS and Science Act. Alex Muresianu, Senior Policy Analyst at the Tax Foundation, joins Kyle Hulehan to explore these policies' intentions, tangible effects on specific sectors, and impact on the broader U.S. economy. Links: https://taxfoundation.org/research/all/federal/supply-side-economics-industrial-policy/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

As the world of tax policy becomes more interconnected, the Tax Foundation is stepping up, recognizing the pressing need for informed and principled tax policy education in an ever-evolving landscape. In response, we are broadening our scope by establishing a presence at the epicenter of European tax policy discussions: Brussels. Sean Bray, Director of European Policy at the Tax Foundation, and Edwin Visser, Deputy Global Tax Policy Leader at PwC Netherlands, join Kyle Hulehan to discuss the launch of Tax Foundation Europe. Links: https://taxfoundation.org/blog/tax-foundation-europe-launches/ https://taxfoundation.org/eu/ https://taxfoundation.org/eu/research/european-tax-policy-scorecard/ https://taxfoundation.org/research/all/eu/eu-green-transition-tax-policy/ https://taxfoundation.org/research/all/eu/capital-gains-taxation-eu/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

Sales taxes go beyond a few extra bucks at the register. It’s not just about what you pay, but who pays. What are the implications of state sales tax bases across the U.S.? Katherine Loughead, Senior Policy Analyst & Research Manager at the Tax Foundation, joins Kyle Hulehan. Together, we'll uncover the core principles behind an efficient sales tax system and examine how taxing business inputs can lead to economic inefficiencies and higher prices for consumers. Links: https://taxfoundation.org/research/all/state/kentucky-sales-tax-reform/ https://taxfoundation.org/data/all/state/2024-sales-taxes/ https://taxfoundation.org/taxedu/glossary/tax-pyramiding/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

Today, we're exploring the intricacies of the latest congressional act stirring up Washington—The Tax Relief for American Families and Workers Act of 2024. Erica York, Senior Economist and Research Director at the Tax Foundation, joins Kyle Hulehan to dissect its key features, including the restoration of crucial business investment provisions, an expansion of the Child Tax Credit, and changes to pandemic-era tax credits. The conversation also sheds a light on the act's temporary and retroactive dimensions, which could leave taxpayers in uncertain, and confusing, territory. Links: https://taxfoundation.org/blog/bipartisan-tax-deal-2024-tax-relief-american-families-workers-act/https://taxfoundation.org/blog/bipartisan-tax-deal-revenue-challenges/https://taxfoundation.org/research/all/federal/making-2017-tax-reform-permanent/Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show

Financial literacy is a problem that educators around the country are trying to tackle. Today, we’re speaking with Jed Collins, a former NFL player, who is leading the charge in the financial education arena by guiding high school and college students, as well as professional athletes, through the world of finance. He’s passing down essential knowledge on understanding taxes, showing students that a good financial game plan can lead them towards a prosperous future. Links: https://taxfoundation.org/taxedu/podcast/all/economic-education-month/ https://taxfoundation.org/blog/do-people-really-move-because-of-taxes/ https://course.yourmoneyvehicle.com/p/your-money-vehicletke https://yourmoneyvehicle.com/product-one-hour-course-certification-tax/ https://yourmoneyvehicle.com/high-schools/ Support the Show. Follow us! https://twitter.com/TaxFoundation https://twitter.com/deductionpod Support the show