Accounting News

On Election Day, a narrow majority of voters approved Massachusetts Question 1, also known as the Fair Share Amendment, which will transition the Commonwealth from a flat rate individual income tax to a graduated rate system. Effective January 1, 2023, the Bay State will begin taxing all individual income above $1 million at a 9 percent
0 Comments
Tax Foundation recently released the 2022 International Tax Competitiveness Index (ITCI) measuring the competitiveness and neutrality of countries’ tax systems. Since 2020, Spain has dropped from 26th to 34th (out of 38 countries) in the ITCI due to multiple tax hikes, new taxes, and weak performances in all five index components. In Spain’s case, some
0 Comments
The Tax Foundation’s recently released 2022 International Tax Competitiveness Index (ITCI), measures the extent to which a country’s tax system adheres to two important aspects of tax policy: competitiveness and neutrality. Over the years, the Index has helped many European countries like Austria, Greece, and the UK design tax reform proposals. As the Index continues
0 Comments
Table of Contents Note: Each year we review and improve the methodology of the Index. For that reason, prior editions are not comparable to the results in this 2022 edition. All data and methodological notes are accessible in our GitHub repository. Below is a preview of the 2022 Index. To access the full report, click the download
0 Comments
“Tax fairness” has been a lingering theme in EU policy circles since the 2008 financial crisis and subsequent Euro crisis. The prevailing sentiment among policymakers is that European tax authorities need to work together to eliminate tax fraud and avoidance because government budgets depend on these missing revenues to provide essential public services. Without them,
0 Comments
Executive Summary The Regional Tax Competitiveness Index (RTCI) for Spain allows policymakers, businesses, and taxpayers to evaluate and measure how their regions’ tax systems compare. This Index has been designed to analyze how well regions structure their tax system. Additionally, it serves as a road map for policymakers to reform their tax systems and make
0 Comments
Over the past two years, policymakers and taxpayers have grappled with proposals to increase taxes as ideas introduced in the 2020 presidential campaign were transformed into legislation. This effort culminated in August with the enactment of the Inflation Reduction Act. While many of the tax increases considered over the last two years were eventually shelved,
0 Comments
As energy prices continue to rise, more European countries have been looking at windfall profit taxes—a one-time tax levied on a company or industry when economic conditions result in large, unexpected profits—to fund relief measures for consumers. As early as March 8, the European Commission recommended in its REPowerEU communication that member states temporarily impose
0 Comments
On 30 September, the Council of the European Union agreed to impose an EU-wide windfall profits tax on fossil fuel companies to fund relief for households and businesses facing high energy prices (due primarily to Putin’s war on Ukraine). Given the dire economic environment for families and the urgency to transition away from Russian energy,
0 Comments
Inflation operates much like a tax, a particularly egregious one that disproportionately falls on the poor and leads to a variety of economic problems, including, as we’re seeing, higher interest rates, slow economic growth, and reduced incomes. With inflation still running high, it is worth exploring who bears the cost of the surge in prices
0 Comments
As noted in a Tax Foundation blog post last week, the Inflation Reduction Act (IRA) primarily uses carrots, not sticks, to incentivize reductions in carbon emissions. The Inflation Reduction Act creates or expands tax credits for various low- or no-emission technologies, rather than imposing a generalized penalty for emissions, such as a carbon tax. However, there
0 Comments
Loss carryover tax provisions allow businesses to either deduct current year losses against future profits (carryforwards) or current year losses against past profits (carrybacks). Many companies have investment projects with different risk profiles and operate in industries that fluctuate greatly with the business cycle. Carryover tax provisions help businesses “smooth” their risk and income, making
0 Comments
Note: This report was published in partnership with the Centre for Policy Studies, one of the oldest and most influential think tanks in Westminster. With a focus on taxation, economic growth, business, welfare, housing and green growth, its goal is to develop policies that widen enterprise, ownership and opportunity. Key Findings For many years, the UK has adopted a
0 Comments
The Inflation Reduction Act created numerous tax subsidy programs intended to accelerate the transition to a greener economy. The justification for climate change action is strong, but there are two possible approaches to take which we might colloquially call carrots and sticks. Carrots are subsidies designed to reduce emissions—think tax credits for green energy or carbon
0 Comments