News
CNN Money | Payroll tax cut problem: Paying for it
After a year of beating their heads against the wall about reducing deficits, lawmakers in the next few weeks may add to them.
NY Times | In Congress, Role Reversal Over Federal Payroll Tax Cut
In a sharp role reversal, Democrats and Republicans have become divided over whether to extend a federal payroll tax cut enjoyed by every working American last year, with Democrats leading the charge for the tax break and many Republicans demanding that the cut be paid for if it is extended at all.
Politico | States cut taxes for 2012
The states put in place a net decrease of $584.2 million in new taxes and fees — the first in five years — compared with the increase $6.2 billion for fiscal 2011, according to the report by the National Governors Association and National Association of State Budget Officers.
Econ Comments
Washington Times | LAMBRO: Bent out of shape over Bush tax cuts
Obama won’t budge from demand to dun the rich.
Cato Institute | High-Tax Advocates Are Either Credulous or Envious of Wealthy
President Obama said last week that we need to increase tax rates on the wealthiest Americans to obtain an extra $100 billion in tax revenue, and he blamed the failure of the supercommittee on the unwillingness of the Republicans to increase tax rates.
Washington Times | FOSTER: Repatriation tax holiday not a stimulus
America’s multinational companies are pushing hard for another repatriation tax holiday. Yes, pro-growth tax cuts and tax reform should be on Congress‘ agenda to get the economy moving again. But there are much better options than this jobs dud, starting with making the George W. Bush tax cuts permanent.
Reports
CRS | The Temporary Payroll Tax Reduction: A Brief Description and Economic Analysis
Social Security is financed by payroll taxes, which are paid by covered workers and their employers.1 In the absence of a payroll tax reduction, employees and employers would each pay 6.2% of covered earnings, up to an annual limit, whereas self-employed individuals would pay 12.4% of net self-employment income, up to an annual limit.
