About This Tax Hub
The Tax Hub was created to be a tax reform “app” of sorts. It is a first of its kind resource that brings together information from a variety of sources including the Department of Treasury, the Joint Committee on Taxation, the Congressional Research Service, the Congressional Budget Office, the House Ways and Means Committee, the Senate Committee on Finance, think tanks and publications like the Washington Post.
It will allow you to quickly locate quality research and government resources to better inform you about various tax provisions – expired, set to expire or permanently in the tax code. It is fully searchable to help you find what you need quickly.
How do I use it?
The site is fully searchable by key word, but if you have some information to start with here are several tips to help you quickly locate the information you are looking for.
You know the year the provision expires:
For example, if you are researching the research and experimentation tax credit (commonly referred to as the “R&D” tax credit for businesses) and know the credit expired in 2011, you would go to the “Expired and Expiring Tax Extender Provisions” section and search for “R&D” in the 2011 pull-down list. You will be taken to the pages in this report dedicated to the legislative history of the credit and its current status. These pages also contain other useful research and information about this credit from various sources, including major supporters of the credit.
You are unsure when the extender expires:
If you are searching for the Work Opportunity Tax Credit (“WOTC”) but are unsure if or when it expired, you should search for the formal title of the extender, or the commonly used acronym, in the “Expired and Expiring Tax Extender Provisions” section (the link for all years) and you will be taken to the pages of this report that review the credit and all eligible classes of employees that are served by this credit.
You want information on a tax expenditure:
If you want to review the history of a tax expenditure, such as the exclusion of employer contributions for health care, health insurance premiums, and long-term care insurance, the process is a little different. Because this provision is not an expired or expiring tax provision, but rather a tax expenditure, the best way to start is by searching the testimony of Mr. Barthold of the Joint Committee on Taxation (JCX-49-11), as it contains a brief list of the most expensive tax expenditures in the tax code. If you wanted more detail on this provision, you would then go to the Red Book link in the “Tax Reform Background Documents” section. As noted, this resource contains an exhaustive list of tax benefits that are currently in our tax code. By searching this resource, you will be taken to the pages of the report that describe the history of this provision in the U.S. tax code.
What’s Included In It?
- Testimony by Thomas Barthold, Chief of Staff of the Joint Committee on Taxation before the Joint Select Committee on Deficit Reduction in September 2011 (JCX-49-11). This testimony contains summaries of the U.S. individual and corporate tax systems. It contains research on the largest tax expenditures in each category and how to approach reforming tax expenditures.
- The legislative background of expired and expiring tax provisions prepared by the Joint Committee on Taxation in January 2012 (JCX-6-12). The site organizes all of the expiring tax provisions by the year in which they expire. Each provision also contains reference material we have gathered that will be helpful in evaluating the background and, where available, the most recent cost, or score, for the provision.
- A useful set of charts by the Congressional Research Service (CRS) in its report “An Overview of Tax Provisions Expiring in 2012” (CRS-R42485). This report outlines the 2001/2003 tax cuts (the Bush tax cuts) that will be an issue before Congress this year and during tax reform. While some CRS reports cited here have been placed on other websites, all CRS reports cited in this document can be found at www.crs.gov if you have access from a Congressional office
- Reviews of the 1986 Tax Reform legislation, which can be found in the “Tax Reform Background Documents” section
- A link to one of the best resources for tax expenditures, “The Red Book,” (2010) from the CRS and the Senate Budget Committee.
- The most recent Treasury analysis of the President’s Fiscal Year 2013 tax proposals, “The Green Book.” It is published by the U.S. Department of the Treasury and contains the Administration’s justifications for various recommended changes to the tax code. For example, these include the tax proposal for carried interest to be treated as ordinary income and the proposal to limit deductions for contributions made by individuals.
- The periodic Congressional review of recent tax legislation, “The Blue Book.” The most recent edition includes tax legislation enacted in through 111th Congress.
- Links to deficit control and budget proposals that will be of interest and use to you. They include the budget reports from President Obama (PERAB) from 2010; the Bowles/Simpson report (National Commission on Fiscal Responsibility); the Rivlin/Dominici report (Debt Reduction Task Force of the Bipartisan Policy Center); and the 2005 Breaux/Mack report (President’s Advisory Panel on Federal Tax Reform).
Have questions about the Tax Hub?
Contact Casie Daugherty at Casie.Daugherty@prime-policy.com.