Paul L. Caron
Dean





Tuesday, December 6, 2022

Repetti Presents International Tax Policy, Manufacturing, And U.S. National Interests Today At Boston College

James Repetti (Boston College; Google Scholar) presents International Tax Policy, Manufacturing, and U.S. National Interests at Boston College today as part of its Tax Law Policy Workshop hosted by Hugh Ault, Ray Madoff, Beverley Moran, Shuyi Oei, Diane Ring, and Steve Shay:

James repettiTwo tax regulations that permit U.S. multinational enterprises (MNEs) to use foreign contract manufacturers and to disregard their wholly owned foreign subsidiaries have created significant tax incentives for MNEs to move manufacturing outside the U.S. These tax incentives have contributed to the loss of 5 million manufacturing jobs, the closure of more than 91,000 plants, and a decline in domestic production since 1997. These declines have increased inequality and political instability, and have decreased U.S. national security and research and development efforts to improve production techniques. Given these harms, it makes little sense to allow these incentives to remain in our tax system.

This article proposes two amendments to the regulations to reduce or eliminate the tax incentives for offshoring.

First, MNEs should not be allowed to use foreign contract manufacturers to qualify for the manufactur-ing exception in subpart F. Second, U.S. MNEs should not be permitted to disregard their foreign entities.

Continue reading

December 6, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, December 2, 2022

Next Week’s Tax Workshop

Tax Workshops (Big)Tuesday, December 6: James Repetti (Boston College; Google Scholar) will present International Tax Policy, Manufacturing, and U.S. National Interests as part of the Boston College Tax Law Policy Workshop:

Two tax regulations that permit U.S. multinational enterprises (MNEs) to use foreign contract manufacturers and to disregard their wholly owned foreign subsidiaries have created significant tax incentives for MNEs to move manufacturing outside the U.S. These tax incentives have contributed to the loss of 5 million manufacturing jobs, the closure of more than 91,000 plants, and a decline in domestic production since 1997. These declines have increased inequality and political instability, and have decreased U.S. national security and research and development efforts to improve production techniques. Given these harms, it makes little sense to allow these incentives to remain in our tax system.

Continue reading

December 2, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Tuesday, November 29, 2022

Kleiman Presents Impoverishment By Taxation And How American Governments Impoverish Their Own Today At NYU

Ariel Jurow Kleiman (Loyola-L.A.; Google Scholar) presents the following papers at NYU today as part of its Tax Policy and Public Finance Colloquium hosted by Daniel Shaviro: 

Impoverishment by Taxation, 170 U. Pa. L. Rev. ___ (2022)

Ariel_Jurow_KleimanViewed in the aggregate, the U.S. fiscal system is progressive, reduces inequality, and cuts poverty. The system improves on market outcomes by transferring income from rich to poor. Yet this bird’s eye view rings hollow on the ground, where millions of low-income taxpayers across the United States are made poor or poorer by paying their state and federal taxes. In truth, while the U.S. fiscal system may be broadly equalizing and poverty reducing, for many struggling households, it is impoverishing.

This Article offers a new way to measure taxation of low-income households in the United States, presenting a concept called fiscal impoverishment.

Taxpayers are fiscally impoverished when they are made poor or poorer by paying state and federal taxes, after accounting for the offsetting cash or near-cash public benefits they receive. Distinct from the aggregate and anonymous measures by which we typically assess our tax and transfer system, fiscal impoverishment is dynamic and individualized. It highlights individual human dignity and implicates the economic responsibilities of the state vis-à-vis low-income taxpayers.

 

Continue reading

November 29, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Wilking Presents Tax Incidence With Heterogeneous Firm Evasion Today At Boston College

Eleanor Wilking (Cornell) presents Tax Incidence with Heterogeneous Firm Evasion: Evidence from Airbnb Remittance Agreements at Boston College today as part of its Tax Policy Workshop hosted by Hugh Ault, Ray Madoff, Beverley Moran, Shuyi Oei, Jim Repetti, Diane Ring, and Steve Shay:

Wilking (2021)How does the obligation to remit affect consumption tax incidence? In classical tax theory, assigning the responsibility to transfer tax revenue to the government has no effect on which party bears the economic burden of a consumption tax. I explore this prediction in the context of agreements between city governments and a large digital platform firm that shifted the obligation to remit hotel taxes from independent renters to the platform firm itself. Using variation in the location and timing of these agreements, I identify a substantial increase in advertised tax-inclusive rental prices—a violation of remittance invariance—but comparatively modest declines in completed reservations. A contemporaneous increase in hotel tax revenue collections suggests that the policy was an effective tax increase, assessed on previously non-compliant renters. I explore heterogeneity in pass through of this effective tax increase using several proxies for renter price-setting sophistication. Pass-through was lowest among full-space, frequent renters who likely faced smaller optimization frictions relative to more amateur renters. My results indicate that shifting the remittance obligation to the platform increases after-tax prices and raises revenue, suggesting that consumers bear a greater share of the tax burden when the remittance obligation is shifted to a party with fewer evasion opportunities.

Continue reading

November 29, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Monday, November 28, 2022

Vella Presents Pillar 2’s Impact On Tax Competition Today At UC-Irvine

John Vella (Oxford) presents Pillar 2’s Impact on Tax Competition (with Michael P. Devereux (Oxford; Google Scholar) & Heydon Wardell-Burrus (Oxford)) at UC-Irvine today as part of its Tax Policy Colloquium

John-vellaThe Two-Pillar Solution agreed by 137 countries on 8 October 2021 has been hailed as “historic” and a “a once-in-a-generation accomplishment for economic diplomacy.” To a significant extent, this is due to the expected impact of Pillar 2 (essentially a global minimum tax) on tax competition among states. This paper examines Pillar 2’s impact on tax competition. It builds on a short policy brief released by the authors in January 2022 in which the main incentives created by Pillar 2 that are relevant to tax competition were first identified.

The paper is divided into 7 sections. Section 1 introduces the paper. Section 2 discusses Pillar 2’s objectives: addressing profit shifting and tax competition. Section 3 discusses the Top-Up Tax calculation under Pillar 2, with a particular focus on the “Substance Based Income Inclusion” and the “Qualified Domestic Minimum Top-up Tax” (QDMTT) variables. Section 4 sets out three main conclusions on Pillar 2’s impact on tax competition. 

Continue reading

November 28, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, November 25, 2022

Next Week’s Tax Workshops

Next Week's Tax Workshops - linkedinMonday, November 28: John Vella (Oxford) will present Pillar 2’s Impact on Tax Competition (with Michael P. Devereux (Oxford; Google Scholar) & Heydon Wardell-Burrus (Oxford)) as part of the UC-Irvine Tax Policy Colloquium. If you would like to attend, please contact Natascha Ryan Fastabend.

Tuesday, November 29: Eleanor Wilking (Cornell) will present Tax Incidence with Heterogeneous Firm Evasion: Evidence from Airbnb Remittance Agreements as part of the Boston College Tax Policy Workshop. If you would like to attend, please contact Jim Repetti.

Tuesday, November 29: Ariel Jurow Kleiman (Loyola-L.A.; Google Scholar) will these two papers as part of the NYU Tax Policy and Public Finance Colloquium:

Continue reading

November 25, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Monday, November 21, 2022

Morse Presents APA Challenges To Old Tax Guidance And The Six-Year Default Limitations Period Today At UC-Irvine

Susan Morse (Texas; Google Scholar) presents Out of Time? APA Challenges to Old Tax Guidance and the Six-Year Default Limitations Period at UC-Irvine today as part of its Tax Policy Colloquium:

Susan-morse  The government has begun to raise the six-year limitations period under 28 U.S.C. § 2401(a) to defend against administrative procedure challenges to old tax regulations. This defense should work. The tradeoff between accuracy and repose in these cases is solved by the six-year limitations period of 28 U.S.C. § 2401(a), which begins to run when guidance issues for such administrative procedure claims. One complication in tax is that most opportunities to raise administrative procedure claims arise in deficiency or refund cases, where the pre-litigation tax procedure can be lengthy and outside the control of the plaintiff. The solution is to make appropriate equitable, administrative and perhaps legislative adjustments to ensure that the limitations period works appropriately in the tax context.

Continue reading

November 21, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, November 18, 2022

Next Week’s Tax Workshop

Tax Workshops (Big)Monday, November 21: Susan Morse (Texas; Google Scholar) will present Out of Time? APA Challenges to Old Tax Guidance and the Six-Year Default Limitations Period as part of the UC-Irvine Tax Policy Colloquium:

The government has just begun to raise the six-year limitations period under 28 U.S.C. § 2401(a) to defend against administrative procedure challenges to old tax guidance. This defense should work. The tradeoff between accuracy and repose in these cases is solved by the six-year limitations period of 28 U.S.C. § 2401(a), which begins to run when guidance issues for such administrative procedure claims. One complication in tax is that most opportunities to raise administrative procedure claims arise in deficiency or refund cases, where the pre-litigation tax procedure can be lengthy and outside the control of the plaintiff. But the solution is not to hold the limitations period open indefinitely. That would give no weight to the value of repose. Instead, the right solution is to temper the effect of the limitations period with appropriate adjustments, including equitable tolling and estoppel and administrative practices, such as waiving the limitations period with respect to tax returns filed within six years of the issuance of challenged guidance.

If you would like to attend, please contact Natascha Ryan Fastabend

Continue reading

November 18, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Hayashi Presents Tax Law Enforcement And Redistributive Politics Today At Florida

UF

Andrew Hayashi (Virginia; Google Scholar) presents Tax Law Enforcement and Redistributive Politics (with Yehonatan Givati (Hebrew University)) at Florida today as part of its Tax Colloquium hosted by Charlene Luke:

Although most Americans think that there is too much income inequality, support for redistribution through the income tax is tepid. This is a problem, because the income tax must play an important role in any serious effort to reduce income inequality, and an influential view among scholars holds that the income tax should be the only tool of redistribution. Why are people unhappy about income inequality but ambivalent about the primary legal tool for addressing it? In this Article, we explain how it is possible to hold these seemingly contradictory views and why tax law underenforcement is partly responsible for this contradiction. Underenforcement undermines taxpayer morale, increases the efficiency costs of using tax law for redistribution, and generates a distribution of tax burdens that is different than would be the case if the law were perfectly enforced. 

Continue reading

November 18, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Thursday, November 17, 2022

Shanske Presents State Digital Services Taxes—A Good And Permissible Idea Today At San Diego

Darien Shanske (UC-Davis; Google Scholar) presents State Digital Services Taxes: A Good and Permissible Idea (Despite What You Might Have Heard) (with Young Ran (Christine) Kim (Cardozo; Google Scholar)) at San Diego today as part of its Tax Speaker Series hosted by Miranda Fleischer:

Darien-shanskeTax systems have been struggling to adapt to the digitalization of the economy. At the center of the struggles is taxing digital platforms, such as Google or Facebook. These immensely profitable firms have a business model that gives away "free" services, such as searching the web. The service is not really free; it is paid for by having the users watch ads and tender data. Traditional tax systems are not designed to tax such barter transactions, leaving a gap in taxation.

One response, pioneered in Europe, has been the creation of a wholly new tax to target digital platforms: The Digital Services Tax (DST). Though controversial, ten states have entertained imposing a DST, and Maryland actually did so. Maryland’s tax was immediately challenged, with the strongest argument against the tax being that it is preempted by the Internet Tax Freedom Act. There is considerable consensus that Maryland’s tax is in serious trouble and a judge in Maryland recently found it preempted and unconstitutional. 

Continue reading

November 17, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Jacob Presents How Effective Are Emission Taxes In Reducing Air Pollution? Today At The OMG Transatlantic Tax Talks

Martin Jacob (WHU–Otto Beisheim; Google Scholar) presents How Effective are Emission Taxes in Reducing Air Pollution? today as part of the  OMG Transatlantic Tax Talks Series (OMG = Oxford-Michigan-MIT-Munich-Georgetown):

JacobThis paper examines the role of environmental taxes in reducing emission output. Using unique satellite data to observe levels of nitrogen dioxide (NO2), we leverage an emission tax introduction in 2013 in the Autonomous Community Valenciana. We find that this environmental tax reduced NO2 levels by 1.8%. While the effect does not depend on the prevalence of dirty versus clean industries, we find that the NO2 burden is reduced more substantially in large industry areas, urban regions, and in areas with innovative and large firms.

Continue reading

November 17, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Tuesday, November 15, 2022

Maynard Presents Wage Enslavement, Racial Equity, And A Race-Neutral Tax Code Today At NYU

Goldburn Maynard, Jr. (Indiana-Kelley; Google Scholar) presents the following papers at NYU today as part of its Tax Policy and Public Finance Colloquium hosted by Daniel Shaviro:

Goldburn-maynardWage Enslavement: How the Tax System Holds Back Historically Disadvantaged Groups of Americans, 110 Ky. L.J. __ (2022) (with David Gamage (Indiana-Maurer; Google Scholar)): 

Despite the importance placed on equality of opportunity within United States political culture, the existing tax system inhibits historically disadvantaged groups from building wealth or catching up with historically more privileged groups. This effectively then traps many members of historically disadvantaged groups into a continued cycle of dependence on tax-disfavored wage and salary income, a phenomenon that we metaphorically label as “wage enslavement.” This Article explains this phenomenon and then calls for reform.

Biden’s Gambit: Advancing Racial Equity While Relying on a Race-Neutral Tax Code, 131 Yale L.J. F. 656 (2022): 

Continue reading

November 15, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Feld, Nielsen & Sims Present Green Or Greed? The Valuation Of Conservation Easements Today At Boston College

Alan Feld (Boston University), Jacob Nielsen (Ropes & Gray) & Theodore Sims (Boston University) present Green, or Greed? A Fresh Perspective on the Valuation of Conservation Easements, 76 Tax L. Rev. __ (2022), at Boston College today as part of its Tax Policy Collaborative hosted by Jim Repetti:

Fled-nielsen-simsCharitable contributions of "conservation easements" have since 1980 allowed high-income taxpayers to shelter income from taxation through overvalued deductions. Overvaluation has increased dramatically in the past 20 years: a 2016 study of all easement decisions since 1980 reported that while overvaluation had averaged by a factor of two before 1994, it averaged by a factor of ten for decisions between 1994 and 2016. SOI data disclose that aggregate easement contributions deducted on Schedule A grew from $2.26 billion in 2015 to $6.5 billion in 2018 (the most recent year available). A recent report by supporters of conservation easements acknowledges that "neither the [IRS] nor the courts have sufficient resources to effectively police valuation abuse."

Continue reading

November 15, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Monday, November 14, 2022

Doran Presents The Great American Retirement Fraud Today At Loyola-L.A.

Michael Doran (Virginia; Google Scholar) presents The Great American Retirement Fraud at Loyola-L.A. today as part of its Tax Policy Colloquium hosted by Theodore Seto:

Michael-doranOver the past quarter century, Congress has enacted several major reforms for retirement plans and individual retirement accounts, usually with large bipartisan, bicameral majorities. Legislators have claimed each time that the reforms would improve retirement security for millions of Americans, especially rank-and-file workers. But the supposed interest in helping lower-income and middle-income earners has been a stalking horse for the real objective of expanding tax subsidies for higher-income earners. The legislation has repeatedly raised the statutory limits on contributions and benefits, delayed the start of required distributions, and weakened statutory non-discrimination rules – all to the benefit of affluent workers and the financial-services companies and retirement-plan service providers that collect fees from retirement plans and retirement savings. 

Continue reading

November 14, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, November 11, 2022

Next Week’s Tax Workshops

Next Week's Tax Workshops - linkedinMonday, November 14: Michael Doran (Virginia; Google Scholar) will present The Great American Retirement Fraud as part of the Loyola-L.A. Tax Policy Colloquium. If you would like to attend, please RSVP here.

Tuesday, November 15: Alan Feld (Boston University), Jacob Nielsen (Ropes & Gray), & Theodore Sims (Boston University) will present Green, or Greed? A Fresh Perspective on the Valuation of Conservation Easements, 76 Tax L. Rev. __ (2022), as part of the Boston College Tax Policy Collaborative. If you would like to attend, please contact Jim Repetti.

Tuesday, November 15: Goldburn Maynard (Indiana-Kelley Business School; Google Scholar) will present the following papers as part of the NYU Tax Policy and Public Finance Colloquium:

Continue reading

November 11, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Tuesday, November 8, 2022

Kim Presents Tax Harmony: The Promise And Pitfalls Of The Global Minimum Tax At Oxford

Christine Kim (Cardozo; Google Scholar) presented Tax Harmony: The Promise and Pitfalls of the Global Minimum Tax, 43 Mich. J. Int'l L.  (2022) (with Reuven S. Avi-Yonah (Michigan; Google Scholar)) at Oxford yesterday as part of its International Tax Governance and Justice Series hosted by Tsilly Dagan, Ana Paula Dourado, and Cees Peters:

Yr-christine-kimThe rise of globalization has become a double-edged sword for countries seeking to implement a beneficial tax policy. On one hand, there are increased opportunities for attracting foreign capital and the benefits that increased jobs and tax revenue brings to a society. However, there is also much more tax competition among countries to attract foreign capital and investment. As tax competition has grown, effective corporate tax rates have continued to be cut, creating a “race-to-the-bottom” issue.

In 2021, 137 countries forming the OECD/G20 Inclusive Framework on BEPS passed a major milestone in reforming international tax by successfully introducing the framework of a global minimum corporate tax, known as Pillar Two. It aims to set a floor for corporate tax rates with various corrective measures so that multinational enterprises’ income will be taxed once in either source country or residence country at a substantive tax rate. 

Continue reading

November 8, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Monday, November 7, 2022

Stark Presents Kneecapping Prop 13 Through The Income Tax Today At San Diego

Kirk J. Stark (UCLA) presents Kneecapping Prop 13 Through The Income Tax at San Diego today as part of its Tax Speaker Series hosted by Miranda Fleischer:

Stark (2018)Under constitutional limitations on California’s local property tax introduced via Proposition 13 in June 1978, homeowners are generally taxed not on the fair market value of their homes but rather the property’s historic cost. As home prices rise over time, this “acquisition value” feature has two predictable effects: (1) it results in significant property tax disparities, favoring longtime homeowners relative to more recent purchasers, and (2) it discourages homeowners from moving because of the increased property tax burdens associated with purchasing a new home. Less widely recognized is the offsetting effect of a longstanding feature of California’s income tax: the deduction for local property taxes. By directing a larger subsidy to those with higher property taxes, this provision favors recent homebuyers facing market-value property taxes relative to longtime owners with constitutionally limited assessed valuations. It also mitigates to some degree Prop 13’s lock-in effect by reducing the effective property tax rate for those who purchase new homes.

Continue reading

November 7, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Dagan Presents Unbundled Tax Sovereignty Today At Loyola-L.A.

Tsilly Dagan (Oxford; Google Scholar) presents Unbundled Tax Sovereignty: Refining the Challenges at Loyola-L.A. today as part of its Tax Policy Colloquium hosted by Theodore Seto:

Tsilly-daganTax sovereignty under globalization is at risk of unraveling. This is not only–as is often argued—because international organizations or other states exert external power on sovereign states. It is also the very process of fragmentation of state sovereignty that undermines its own foundations. The main claim of this lecture is that globalization is increasingly altering the interaction between states and their constituents. The choices and flexibility it offers (some) taxpayers threaten to transform taxpayers from equal members of a political community entitled to a bundle of public goods and services into consumers of public goods and services offered à-la-carte. Such a transition, this lecture contends, undermines the basis for states’ sovereignty. It is therefore argued that, in order to ensure the continued legitimacy of their sovereignty, states should reconfigure their social contracts with their constituents.

Continue reading

November 7, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, November 4, 2022

Next Week’s Tax Workshops

Next Week's Tax Workshops - twitterMonday, November 7: Kirk J. Stark (UCLA) will present Kneecapping Prop 13 Through The Income Tax as part of the San Diego Tax Speaker Series

Monday, November 7: Tsilly Dagan (Oxford; Google Scholar) will present Unbundled Tax Sovereignty: Refining the Challenges as part of the Loyola-L.A. Tax Policy Colloquium. If you would like to attend, please RSVP here.

Continue reading

November 4, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Mason Presents Bibb Balancing Today At Richmond

Ruth Mason (Virginia; Google Scholar) presents Bibb Balancing, 91 Geo. Wash. L. Rev. __ (2023) (with Michael S. Knoll (Penn)), at Richmond today as part of its Emanuel Emroch Colloquy Series hosted by Allison Tait:

Ruth masonCourts and commentators have long understood dormant Commerce Clause doctrine to contain two types of cases: discrimination and undue burdens. This Article argues for a more nuanced understanding that divides undue burdens into single-state burdens—which arise from the application of a single state’s law alone—and mismatch burdens, which arise from legal diversity. Although the Supreme Court purports to apply Pike balancing in all undue-burden cases, we show that the Court’s approach in mismatch cases differs substantially. Specifically, unlike in single-state cases, balancing in mismatch cases involves an implicit and potentially problematic comparison by the Court between the challenged state’s regulation and those of other states. We label analysis in mismatch cases “Bibb balancing,” after the famous mudflaps case, and we show that mismatch cases present the Court with a more challenging set of issues than do other types of dormant Commerce Clause cases. 

Continue reading

November 4, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Buchanan Presents The Universality Of The Murphy-Nagel Approach Today At Florida

Neil Buchanan (Florida; Google Scholar) presents The Universality of the Murphy-Nagel Approach at Florida today as part of its Tax Policy Colloquium hosted by Charlene Luke:

Few academic books that have had as much immediate influence as The Myth of Ownership: Taxes and Justice (Myth), which upon publication in 2002 became a staple of syllabi across tax academia and launched important debates among scholars around the world. This was all the more impressive because neither of the authors, Liam Murphy and Thomas Nagel (MN), is a tax scholar. Yet their insights have changed the narrative in tax scholarship and beyond.

This surprising success raises a number of questions. Why is the book so important? Should it have even more impact than it has had — that is, is it possible that the scholars and policy analysts who have found it so interesting nonetheless failed to appreciate the full import of MN’s approach and arguments? Is it misunderstood? Is it perfect?

Continue reading

November 4, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Tuesday, November 1, 2022

Dean Presents For-Profit Philanthropy Today At Boston College

Steven Dean (Brooklyn, visiting Boston University) presents For-Profit Philanthropy: Elite Power and the Threat of Limited Liability Companies, Donor-Advised Funds, and Strategic Corporate Giving (Jan. 2023) (with Dana Brakman Reiser (Brooklyn; Google Scholar)) at Boston College today as part of its Tax Policy Collaborative hosted by Jim Repetti:

For-profit-philanthropy

Introduction
This is the way the world ends
Not with a bang but a whimper.
— The Hollow Men by T.S. Eliot

The size of the US philanthropic sector hints at the pivotal role it has long played in American society. Americans gave almost $485 billion to charities in 2021 alone, a record-breaking outpouring of generosity sparked by the global pandemic but not out of step with typical annual totals. The nonprofit sector employs well over 10 percent of US private workers, and grantmaking foundations hold more than $1 trillion in assets, with billions more held by operating charities.

Disasters like the COVID-19 pandemic bring the contributions of this sector—to research, public health, job training, and community support—into sharp relief. Philanthropic institutions have the power to change lives and shape policy, fueled by a combination of private funding, government subsidies, and public goodwill. It has been a hallmark of American society since Alexis de Tocqueville identified it as unique in the 1830s. Yet, for all its power, a crisis now looms over the future of the philanthropic sector itself.

Continue reading

November 1, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Monday, October 31, 2022

Love Presents Who Benefits From Partnership Flexibility? Today At UC-Irvine

Michael Love (Berkeley) presents Who Benefits from Partnership Flexibility? at UC-Irvine today as part of its Tax Policy Colloquium:

Michael-loveartnerships, unlike corporations, offer business owners and investors great flexibility to divide up income and losses. Although this flexibility can reduce agency and transaction costs, it also presents opportunities to avoid taxes. Regulations limit such behavior, but the question remains: how much tax reduction occurs in practice on account of this flexibility, and who benefits? Using US federal tax records from 2019, I estimate that taxes on partnership income are substantially lower (by 13%, roughly $14 billion) compared to a counterfactual where the same income is allocated according to a less flexible set of rules, similar to S-corporations. I also reconstruct partnership ownership networks to understand who benefits from flexibility. I find that both the use of flexible allocations and the tax benefits therefrom are highly concentrated in a small number of larger, more complex partnership networks, with the largest benefits accruing to very high-income earners and to networks involving tax havens, trusts, foreign entities, and circular structures.

Continue reading

October 31, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Wilking Presents Tax Incidence With Heterogeneous Firm Evasion: Evidence From Airbnb Remittance Agreements Today At Loyola-L.A.

Eleanor Wilking (Cornell) presents Tax Incidence with Heterogeneous Firm Evasion: Evidence from Airbnb Remittance Agreements at Loyola-L.A. today as part of its Tax Policy Colloquium hosted by Theodore Seto:

Eleanor-WilkingHow does assignment of the remittance obligation affect consumption tax incidence? In classical tax theory, the responsibility of transferring tax revenue has no effect on which party bears the economic burden of a consumption tax. I explore this prediction in the context of agreements between city governments and a large digital platform firm that shifted the obligation to remit hotel taxes from independent rentors to the platform firm itself. Using variation in the location and timing of such agreements, I estimate their effect on rental prices. My results indicate that shifting the remittance obligation to the platform increases after-tax prices, suggesting that consumers bear a greater share of the tax burden when the remittance obligation is shifted to a party with fewer evasion opportunities.

Commentator: Rita de la Feria (Leeds; Google Scholar)

Continue reading

October 31, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, October 28, 2022

Next Week’s Tax Workshops

Tax Workshops (Big)Monday, October 31: Michael Love (UC-Berkeley) will present Who Benefits from Partnership Flexibility? as part of the UC-Irvine Tax Policy Colloquium. If you would like to attend, please RSVP here.

Monday, October 31: Eleanor Wilking (Cornell) will present Tax Incidence with Heterogeneous Firm Evasion: Evidence from Airbnb Remittance Agreements as part of the Loyola-L.A. Tax Policy Colloquium. If you would like to attend, please RSVP here.

Tuesday, November 1: Steven Dean (Brooklyn, visiting Boston University) will present For-Profit Philanthropy: Elite Power and the Threat of Limited Liability Companies, Donor-Advised Funds, and Strategic Corporate Giving as part of the Boston College Tax Policy Collaborative. If you would like to attend, please contact Jim Repetti.

Friday, November 4: Ruth Mason (Virginia; Google Scholar) will present Bibb Balancing, 91 Geo. Wash. L. Rev. __ (2023) (with Michael S. Knoll (Penn)) as part of the Richmond Emanuel Emroch Colloquy Series. If you would like to attend, please contact Allison Tait.

Continue reading

October 28, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Tuesday, October 25, 2022

Dean Presents For-Profit Philanthropy Today At UC-Hastings

Steven Dean (Brooklyn) presents a chapter from For-Profit Philanthropy: Elite Power & the Threat of Limited Liability Companies, Donor-Advised Funds, & Strategic Corporate Giving (Jan. 2023) (with Dana Brakman Reiser (Brooklyn; Google Scholar)) at UC-Hastings today as part of its Tax Speaker Series hosted by Heather Field and Manoj Viswanathan:

For-profit-philanthropyIntroduction
This is the way the world ends
Not with a bang but a whimper.
— The Hollow Men by T.S. Eliot

The size of the US philanthropic sector hints at the pivotal role it has long played in American society. Americans gave almost $485 billion to charities in 2021 alone, a record-breaking outpouring of generosity sparked by the global pandemic but not out of step with typical annual totals. The nonprofit sector employs well over 10 percent of US private workers, and grantmaking foundations hold more than $1 trillion in assets, with billions more held by operating charities.

Disasters like the COVID-19 pandemic bring the contributions of this sector—to research, public health, job training, and community support—into sharp relief. Philanthropic institutions have the power to change lives and shape policy, fueled by a combination of private funding, government subsidies, and public goodwill. It has been a hallmark of American society since Alexis de Tocqueville identified it as unique in the 1830s. Yet, for all its power, a crisis now looms over the future of the philanthropic sector itself.

Continue reading

October 25, 2022 in Book Club, Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Raskolnikov Presents Should Only the Richest Pay More? Today At NYU

Alex Raskolnikov (Columbia) presents Should Only the Richest Pay More? (reviewed by David Elkins (Netanya, visiting NYU 2021-2023; Google Scholar) here) at NYU today as part of its Tax Policy and Public Finance Colloquium hosted by Daniel Shaviro:

Alex_raskolnikov_0This paper challenges the leading academic, political, and cultural narrative supporting greater redistribution. The narrative holds that redistribution should come at the expense of a very restricted group of the highest earners: the one percent, the super-rich, the billionaire class. I argue that many reasons offered in support of this view call for redistribution from a much broader group that includes the affluent—those with incomes in the ninetieth to ninety-ninth percentiles of the distribution. Whether one looks at the recent trends in income concentration, wealth concentration, social mobility, political representation, or the rise of populism, the affluent are as great—and sometimes greater—contributors to these problems as those in the top one percent. Remarkably, contemporary legal scholarship has ignored the affluent almost completely, greatly limiting the magnitude of possible economic transfers as well the forms that these transfers may take.

Continue reading

October 25, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Monday, October 24, 2022

Gondwe Presents The Tax Invisible Labor Problem Today At Loyola-L.A.

Nyamagaga Gondwe (Wisconsin; Google Scholar) presents The Tax-Invisible Labor Problem: Care, Work, Kinship, and Income Security Programs in the IRC, 102 B.U. L. Rev. __ (2022) (reviewed by Shayak Sarkar (UC-Davis; Google Scholar) here), at Loyola-L.A. today as part of its Tax Policy Colloquium hosted by Theodore Seto:

GondweSince the mid-1990s, American financial assistance programs have increasingly shifted to require evidence of labor market participation as a criteria for eligibility. This shift signals a change from previous welfare programs that were distributed principally based on unmet material need. The shift from need-based to income-tested income security programs has been lauded for increasing labor force participation. But in this shift, income security programs have failed to account for the labor of non-market care workers. These care workers, whose household production is a fundamental component of market life, experience both economic insolvency and tax-invisibility in the face of assistance systems that do not recognize care work as eligible labor. Because care work disproportionately falls to women in American homes, income-tested financial assistance programs place an outsized strain women's economic lives. 

Continue reading

October 24, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Lederman Presents How Did Luxembourg Become A Tax Rulings Haven? Today At UC-Irvine

Leandra Lederman (Indiana-Maurer; Google Scholar) presents How Did Luxembourg Become a Tax Rulings Haven? at UC-Irvine today as part of its Tax Policy Colloquium:

Lederman-leandra (1)In November 2014, the International Consortium of Investigative Journalists (ICIJ) broke the “LuxLeaks” scandal, revealing hundreds of billions of dollars of “sweetheart deals” given by the small country of Luxembourg to large multinational enterprises, including many name-brand U.S. companies. Although others have written about this headline-news international scandal, which revealed hundreds of previously confidential tax rulings, this Article is the first to explain where Luxembourg’s opaque rulings process came from and the elements that allowed it to be so prolific. This Article is also the first to fully explain the timing of Luxembourg’s reform of its rulings process in relation to the ICIJ’s investigation. The heart of this Article is an original theory regarding the conditions that allow this kind of special tax arrangement to flourish. Using Luxembourg as a case study, the Article argues that three elements were critical: (1) amenability of the tax administration, (2) trust in that administration by tax advisers and (3) secrecy.

Continue reading

October 24, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, October 21, 2022

Next Week’s Tax Workshops

Tax Workshops (Big)Monday, October 24: Leandra Lederman (Indiana-Maurer; Google Scholar) will present How Did Luxembourg Become a Tax Rulings Haven? as part of the UC-Irvine Tax Policy Colloquium. If you would like to attend, please RSVP here

Monday, October 24: Nyamagaga Gondwe (Wisconsin; Google Scholar) will present The Tax-Invisible Labor Problem: Care, Work, Kinship, and Income Security Programs in the IRC (reviewed by Shayak Sarkar (UC-Davis; Google Scholar) here) as part of the Loyola-L.A. Tax Policy Colloquium. If you would like to attend, please RSVP here

Tuesday, October 25: Steven Dean (Brooklyn) will present a chapter from For-Profit Philanthropy: Elite Power & the Threat of Limited Liability Companies, Donor-Advised Funds, & Strategic Corporate Giving (Jan. 2023)(with Dana Brakman Reiser (Brooklyn; Google Scholar)) as part of the UC-Hastings Tax Speaker Series. If you would like to attend, please contact Heather Field.

Tuesday, October 25: Alex Raskolnikov (Columbia) will present Should Only the Richest Pay More? as part of the NYU Tax Policy and Public Finance Colloquium. If you would like to attend, please contact Daniel Shaviro.

Continue reading

October 21, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Endicott Presents The Value of Vagueness Today At The Oxford-Virginia Legal Dialogs

Oxford Virginia
Timothy Endicott
(Oxford; Google Scholar) presents The Value of Vagueness in Vagueness in Normative Terms (Bhatia, et al., eds 2005) today at the Oxford-Virginia Legal Dialogs hosted by Tsilly Dagan and Ruth Mason:

How can it be valuable to use vagueness in a normative text? The effect is to make a vague norm, and vagueness seems repugnant to the very idea of making a norm. It leaves conduct (to some extent) unregulated, when the very idea of making a norm is to regulate conduct. A vague norm leaves the persons for whom the norm is valid with no guide to their conduct in some cases — and the point of a norm is to guide conduct. A vague norm in a system of norms does not control the officers or officials responsible for applying the norms or resolving disputes — and part of the value of a system of norms is to control the conduct of the persons to whom the system gives normative power.

In this essay I will seek to resolve these puzzles, and to show that vagueness can be valuable to lawmakers (and valuable to them, because their use of it is valuable to the people to whom the law is addressed). 

Continue reading

October 21, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Monday, October 17, 2022

Kane & Kern Present The Use And Abuse Of Location-Specific Rent Today At Loyola-L.A.

Mitchell Kane (NYU) & Adam Kern (Law Clerk, Judge Jed Rakoff, Southern District of New York) present The Use and Abuse of Location-Specific Rents at Loyola-L.A. today as part of its Tax Policy Colloquium hosted by Theodore Seto:

Kane-kernMany tax scholars believe the concept of location-specific rent (LSR) is a guide to an ideal allocation of taxing rights. We show that it is not. We provide the first rigorous definition of LSR to appear in the legal or economic literature. Drawing on this definition, we show that LSR does not have the features it is claimed to have. LSR often is not measurable, and it is not made possible by one particular society. More positively, we identify a modest role for using LSR in certain contexts of tax policy.

Continue reading

October 17, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, October 14, 2022

Next Week’s Tax Workshops

Next Week's Tax Workshops - twitterMonday, October 17: Mitchell Kane (NYU) & Adam Kern (Covington & Burling, Washington, D.C.) will present The Use and Abuse of Location-Specific Rents as part of the Loyola-L.A. Tax Policy Colloquium. If you would like to attend, please RSVP here

Friday, October 21: Timothy Endicott (Oxford; Google Scholar) will present The Value of Vagueness from Vagueness in Normative Terms (Bhatia, et al., eds 2005) as part of the Oxford-Virginia Legal Dialogs. If you would like to attend, please RSVP here

Continue reading

October 14, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Cauble Presents Taxpayers' Use Of Hindsight Today At Florida

10-14-22-TC-Cauble

Emily Cauble (Wisconsin; Google Scholar) presents Taxpayers' Use of Hindsight at Florida today as part of its Tax Policy Colloquium hosted by Charlene Luke:

After undertaking a transaction, a taxpayer might later discover that it was ill-advised. Perhaps the taxpayer engages in the transaction without considering its tax consequences. Later, in the course of obtaining tax filing guidance, the taxpayer learns that an alternative transactional form would have produced more favorable tax results. Alternatively, the taxpayer may adopt a transactional form that produces favorable tax consequences if the transaction’s non-tax outcome is what the taxpayer predicts. When the taxpayer discovers that the transaction’s non-tax outcome is not what the taxpayer predicted, the taxpayer wishes they had used an alternative transactional form. Along similar lines and for similar reasons, a taxpayer who files (or fails to file) an election that dictates their tax treatment might later feel regret.

Continue reading

October 14, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Wednesday, October 12, 2022

Hemel Presents Valuing Future Lives Today At NYU

Daniel Hemel (NYU; Google Scholar) presents Valuing Future Lives (with Jonathan Masur (Chicago; Google Scholar)) at NYU today as part of its Law & Economics Workshop hosted by Jennifer Arlen:

Daniel_Hemel_photo_horizontalFederal regulation often involves a tradeoff between monetary costs in the present and life-saving benefits in the future. A central question in regulatory cost-benefit analysis is how to assign a present dollar value to future lives. Current practice across federal agencies reflects two competing intuitions. On the one hand, the “value of a statistical life”—the amount that society is willing to pay to prevent one premature death—will likely rise over time as per-capita income increases. On the other hand, the social value of a dollar will likely be lower in the future than it is today—even after adjusting for inflation—because people in the future will likely be richer than people today and thus will derive less utility from each additional dollar. In theory, these two competing effects—the upward adjustment in the value of a statistical life to reflect income growth and the downward pressure from discounting future dollars—could offset precisely, with regulators assigning the same weight to lives in the future and lives today. In practice, however, agencies adjust the value of a statistical life upward for income growth at a significantly slower rate than they discount future dollars. The mismatch between these two rates results in the dramatic devaluation of lives saved in the future. At some agencies, the value of a life saved in 30 years is—for purposes of cost-benefit analysis—less than half the value of a life saved today.

Continue reading

October 12, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Tuesday, October 11, 2022

Crawford Presents Pink Tax And Other Tropes Today At NYU

Bridget Crawford (Pace; Google Scholar) presents Pink Tax and Other Tropes, 34 Yale J.L. & Feminism __ (2022) at NYU today as part of its Tax Policy and Public Finance Colloquium hosted by Daniel Shaviro:

Bridget_CrawfordLaw reform advocates should be strategic in deploying tax tropes. This Article examines five common tax phrases—the “nanny tax,” “death tax,” “soda tax,” “Black tax,” and “pink tax”—and demonstrates that tax rhetoric is more likely to influence law when used to describe specific economic injustices resulting from actual government duties, as opposed to figurative "taxes" in the form of other real-life burdens or differences. Slogans referring to figurative taxes are less likely to influence law and human behavior, despite their descriptive force in both popular and academic literature as a short-hand for group-based disparities. This Article catalogues and evaluates what makes for effective tax talk, in terms of impact on the law generally as well as dayto-day actions on the ground. With this roadmap, lawyers, policy makers and others will be able make more forceful and precise arguments aimed at reforming the law and changing human behavior.

This Article makes three principal claims—one descriptive, one empirical, and one normative. 

Continue reading

October 11, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, October 7, 2022

Next Week’s Tax Workshops

Tax Workshops (Big)Tuesday, October 11: Bridget Crawford (Pace; Google Scholar) will present Pink Tax and Other Tropes, 34 Yale J.L. & Feminism __ (2022), as part of the NYU Tax Policy and Public Finance Colloquium. If you would like to attend, please contact Daniel Shaviro

Wednesday, October 12: Daniel Hemel (NYU; Google Scholar) will present Valuing Future Lives (with Jonathan Masur (Chicago; Google Scholar)) as part of the NYU Law & Economics Workshop. If you would like to attend, please contact Jennifer Arlen.

Wednesday, October 12:  Jeremy Bearer-Friend (George Washington; Google Scholar) will present Poll Taxes, Revisited at the Max Planck Institute for Tax Law and Public Finance.

Friday, October 14: Emily Cauble (Wisconsin; Google Scholar) will present Taxpayers' Use of Hindsight as part of the Florida Tax Policy Colloquium. If you would like to attend, please contact Charlene Luke

Continue reading

October 7, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Tuesday, October 4, 2022

Fleming Presents Viewing The GILTI Rates Through A Tax Expenditure Lens Today At Vienna

Cliff Fleming (BYU; Google Scholar) presents Viewing the GILTI Rates Through a Tax Expenditure Lens (with Stephen Shay (Boston College; Google Scholar) & Robert Peroni (Texas)) at Vienna University of Economics and Business. 

JCliftonFlemingBefore the TCJA, the outbound income tax planning of U.S. MNEs was arguably focused on maximizing the subsidy provided by deferral of U.S. residual tax (particularly when combined with cross-crediting). The TCJA rendered deferral largely irrelevant and replaced it with strategies to maximize the amount of CFC income that qualifies for preferential tax rates provided by the GILTI regime. These rates are indisputably a tax expenditure that should be subjected to the same cost/benefit analysis that applies to direct government expenditures. This conclusion is not changed by either the recently-adopted corporate minimum tax or by the remote possibility of the United States modifying the GILTI regime to make it Pillar 2 compliant.

The GILTI rates fare poorly under cost/benefit analysis. These rates are defended principally as a subsidy to offset a broad international competitiveness challenge faced by U.S. corporations. However, the existence of such a general problem is empirically unsupported and if it does exist, the GILTI rates are a poorly targeted remedy. 

Continue reading

October 4, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Monday, October 3, 2022

Avi-Yonah Presents A New Framework For Taxing Cryptocurrencies Today At Loyola-L.A.

Reuven Avi-Yonah (Michigan; Google Scholar) presents A New Framework For Taxing Cryptocurrencies, 175 Tax Notes Fed. 1391 (May 30, 2022) (with Mohanad Salaimi (S.J.D. 2022, Michigan)) at Loyola-L.A. today as part of its Tax Policy Colloquium hosted by Theodore Seto:

Reuven_Avi_YonahThis Article explores the tax law challenges associated with the taxation of cryptocurrencies and offers proposals to address such challenges. The Article addresses the proper tax treatment of different cryptocurrency transactions and activities. It examines various aspects associated with the taxation of cryptocurrency through its life cycle, starting from earning cryptocurrency, through its disposal or exchange. The Article also examines the tax treatment of two special crypto events, hard forks and airdrops.

Specifically, this Article describes a proposal to tax cryptocurrencies based on their unique features. It argues that while various ways of earning or receiving crypto tokens (for example, mining in proof-of-work (PoW) protocols like Bitcoin and staking in proof-of-stake (PoS) protocols like either) generate taxable income, the tax results should take into account positive and negative externalities. The Article argues that the U.S. framework for taxing cryptocurrency is unadministrable and ignores the defining feature that distinguishes crypto from other assets: its volatility.

Continue reading

October 3, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Nam Presents Just Taxation of Crime Today At San Diego

Jeesoo Nam (USC; Google Scholar) presents Just Taxation of Crime: Should the Commission of Crime Change One’s Tax Liability?, 54 Ariz. St. L.J. ___ (2023), at San Diego today as part of its Tax Law Speaker Series:

NamThe tax law treats criminals differently from non-criminals. Should it? Under the public policy doctrine, various tax deductions are disallowed if they are closely tied to criminal activity. Running a criminal enterprise is thus tax disadvantaged compared to running a non-criminal enterprise.

This Article considers a variety of possible explanations. (1) The tax disadvantage provides an incentive not to commit crime. (2) The tax disadvantage helps to bring deserved punishment to the criminal. (3) Criminals have given up their right not to be taxed. (4) Criminals have taken an unfair advantage and so must be stripped of that unfair advantage. (5) Taxpayers deserve to bear the full cost of their criminal activities with no help from others.

Continue reading

October 3, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, September 30, 2022

Next Week’s Tax Workshops

Next Week's Tax Workshops - twitterMonday, October 3: Reuven Avi-Yonah (Michigan; Google Scholar) will present A New Framework For Taxing Cryptocurrencies (with Mohanad Salaimi (S.J.D. 2022, Michigan)) as part of the Loyola-L.A. Tax Policy Colloquium. If you would like to attend, please RSVP here.

Monday, October 3: Jeesoo Nam (USC; Google Scholar) will present Just Taxation of Crime as part of the San Diego Tax Law Speaker Series

Tuesday, October 4: Cliff Fleming (BYU; Google Scholar) will present Viewing the GILTI Rates Through a Tax Expenditure Lens (with Stephen Shay (Boston College; Google Scholar) & Robert Peroni (Texas)) at the Vienna University of Economics and Business.

Continue reading

September 30, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Thursday, September 29, 2022

Raskolnikov Presents Should Only The Richest Pay More In Taxes? Today At Columbia

Alex Raskolnikov (Columbia) presents Should Only the Richest Pay More? at Columbia today as part of its Faculty Workshop:

Alex_raskolnikov_0This paper challenges the leading academic, political, and cultural narrative supporting greater redistribution. The narrative holds that redistribution should come at the expense of a very restricted group of the highest earners: the one percent, the super-rich, the billionaire class. I argue that many reasons offered in support of this view also call for redistribution from a much broader group that includes the affluent—those with incomes in the ninetieth to ninety ninth percentiles of the distribution. Whether one looks at the recent trends in income concentration, wealth concentration, social mobility, economic growth, political polarization, or the rise of populism, the affluent are as great—and sometimes greater—contributors to these problems as those in the top one percent. Remarkably, contemporary legal and economic scholarship has ignored the affluent almost completely, greatly limiting the magnitude of possible economic transfers as well the forms that these transfers may take.

Continue reading

September 29, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Tuesday, September 27, 2022

Taub Presents No Income Taxation Until Basic Accommodations: Toward Tax Justice In America Today At NYU

Jennifer Taub (Western New England; Google Scholar) presents No Income Taxation Until Basic Accommodations: Toward Tax Justice in America at NYU today as part of its Tax Policy and Public Finance Colloquium hosted by Daniel Shaviro:

TaubTax reform proposals recently promoted by progressive policymakers and candidates for elected office have focused on increasing federal taxes assessed on and paid by large business enterprises and wealthy individuals. These types of recommendations are designed to achieve redistributive justice based policy goals and also wisely follow the changing direction of public sentiment. From a policy perspective, economic research suggests that this sort of tax-receipts driven redistribution is essential in order to stem –– and ideally reverse –– growing wealth and income inequality trends. As for popular sentiment, the timing is good as the American public was already stirred up in response to the 2017 Republican-championed tax cuts for corporations and the super wealthy. Now, post-pandemic, the American people are even more receptive than they were before to taxing perceived coronavirus profiteering by billionaires and transnational corporations. We can also see evidence of strong support for targeting tax increases on big business and well-off individuals in polling as well as recent responses to the Inflation Reduction Act, the August 2022 legislation that moves modestly in that direction including with a financial-statement based fifteen percent alternative minimum tax on corporations that have on average $1 billion or more in annual earnings. 

These efforts to raise revenue and reduce inequality through taxation are commendable. However, there’s something mostly missing from this agenda that proposes (and recently achieved) adding additional taxes for corporations and the wealthy. Absent, so far, is a serious discussion of direct tax relief for the rest of us.

Continue reading

September 27, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Mann Presents Energy Tax Policy And Support For Zero-Emission Cars In Fleets Today At UC-Hastings

Roberta Mann (Oregon) presents Taxation Support for Zero-Emission Cars in Fleets: Cases from the US and Australia at UC-Hastings (with Diane Kraal (Monash; Google Scholar)) today as part of its Tax Speaker Series hosted by Heather Field:

Roberta-mannTwo qualitative case studies of fleet vehicles in the US and Australia are presented that consider the effect of energy tax policy to increase light car zero-emission electric vehicles (ZEV) adoption in each jurisdiction. The article reflects on tax policies of selected European countries with EV uptakes that surpass the US and Australia. This research makes a substantial contribution to energy policy in the US and Australia by determining energy policies that can enhance the uptake of light car ZEVs, thereby linking to the United Nation’s target of reducing CO2 emissions in the transport sector. Recommendations are supported by analysis of case study transport emissions and government data. This article is significant because it presents strategies for more effectively using tax for energy policy in the US and Australia to increase the number of light car ZEVs. Taxation is seen as necessary to complement EV technology. The US case study finds tax changes are needed to support the current US energy policy of increased uptake of electric vehicles in government fleets.

Continue reading

September 27, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Monday, September 26, 2022

Raskolnikov Presents Should Only The Richest Pay More Taxes? Today At UC-Irvine

Alex Raskolnikov (Columbia) presents Should Only the Richest Pay More? at UC-Irvine today as part of its Tax Policy Colloquium:

Alex_raskolnikov_0This paper challenges the leading academic, political, and cultural narrative supporting greater redistribution. The narrative holds that redistribution should come at the expense of a very restricted group of the highest earners: the one percent, the super-rich, the billionaire class. I argue that many reasons offered in support of this view also call for redistribution from a much broader group that includes the affluent—those with incomes in the ninetieth to ninety ninth percentiles of the distribution. Whether one looks at the recent trends in income concentration, wealth concentration, social mobility, economic growth, political polarization, or the rise of populism, the affluent are as great—and sometimes greater—contributors to these problems as those in the top one percent. Remarkably, contemporary legal and economic scholarship has ignored the affluent almost completely, greatly limiting the magnitude of possible economic transfers as well the forms that these transfers may take.

Continue reading

September 26, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Neves & Semmler Present A Proposal For A Carbon Wealth Tax Today At Loyola-L.A.

Jose Pedro Bastos Neves (The New School) & Willi Semmler (The New School) presents A Proposal for a Carbon Wealth Tax: Modelling, Empirics, and Policy at Loyola-L.A. today as part of its Tax Policy Colloquium hosted by Theodore Seto:

Bastos-neves-semmlerAlthough economists widely advocate carbon pricing as an effective solution to reduce carbon emissions, this mechanism has had so far limited effects. This paper proposes a new type of tax to help finance (and accelerate) the green transition. The “carbon assets” tax would be levied on carbon-intensive (brown) wealth rather than carbon-intensive goods. We consider tax implementation issues such as tax base, incidence, and efficiency. Moreover, we analyze the impacts of such a tax scheme by setting up a model of asset pricing and dynamic portfolio decisions. Green and carbon-intensive returns used in the model are calibrated with low-frequency returns on stock prices between 2010 and 2021.

Continue reading

September 26, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Friday, September 23, 2022

Next Week’s Tax Workshops

Tax Workshops (Big)Monday, September 26: Alex Raskolnikov (Columbia) will present Should Only the Richest Pay More? as part of the UC-Irvine Tax Policy Colloquium. If you would like to attend, please RSVP here

Monday, September 26: Jose Pedro Bastos Neves (The New School) & Willi Semmler (The New School) will present A Proposal for a Carbon Wealth Tax: Modelling, Empirics, and Policy as part of the Loyola-L.A. Tax Policy Colloquium. If you would like to attend, please contact Thedore Seto

Tuesday, September 27: Jennifer Taub (Western New England; Google Scholar) will present No Income Taxation Until Basic Accommodations: Toward Tax Justice in America as part of the NYU Tax Policy and Public Finance Colloquium. If you would like to attend, please contact Daniel Shaviro.

Tuesday, September 27: Roberta Mann (Oregon) will present Taxation Support for Zero-Emission Cars in Fleets: Cases from the US and Australia (with Diane Kraal (Monash; Google Scholar)) as part of the UC-Hastings Tax Speaker Series. If you would like to attend, please contact Heather Field.

Thursday, September 29: Alex Raskolnikov (Columbia) will present Should Only the Richest Pay More? as part of the Columbia Faculty Workshop.

Continue reading

September 23, 2022 in Colloquia, Legal Education, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Repetti Presents International Tax Policy, Manufacturing, And U.S. National Interests Today At Florida

Repetti

James R. Repetti (Boston College; Google Scholar) presents International Tax Policy, Manufacturing, and U.S. National Interests at Florida today as part of its Tax Policy Colloquium hosted by Charlene Luke:

Two tax regulations that permit U.S. multinational enterprises (MNEs) to use foreign contract manufacturers and to disregard their wholly owned foreign subsidiaries have created significant tax incentives for MNEs to move manufacturing outside the U.S. These tax incentives have contributed to the loss of 5 million manufacturing jobs, the closure of more than 91,000 plants, and a decline in domestic production since 1997. These declines have increased inequality and political instability, and have decreased U.S. national security and research and development efforts to improve production techniques. Given these harms, it makes little sense to allow these incentives to remain in our tax system.

This article proposes two amendments to the regulations to reduce or eliminate the tax incentives for offshoring.

Continue reading

September 23, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Tuesday, September 20, 2022

Bearer-Friend Presents Poll Taxes, Revisited Today At UC-Hastings

Jeremy Bearer-Friend (George Washington; Google Scholar) presents Poll Taxes, Revisited at UC-Hastings today as part of its Tax Speaker Series hosted by Heather Field and Manoj Viswanathan:

Bearer-Friend (2021)This Article revisits four poll taxes imposed by Anglophone governments in the 20th century. Two of the poll taxes in the study are explicit in their statutory language of targeting based on race, ethnicity, or ancestry, while two make no mention of their intended targets in the statutory text. As this Article demonstrates, racialized targeting persists even when poll taxes make no mention of race, ethnicity or ancestry. And because poll taxes nominally include everyone—all people with heads—their ability to target specific groups of taxpayers is even more striking. In some ways, these facially neutral poll taxes are even more effective at targeting than the poll taxes that specify their political targets explicitly.

The primary audience for this Article is other tax law scholars who may only have a stylized or cursory understanding of poll taxes. A secondary audience is those outside of tax who seek to understand poll taxes from a tax scholar's point of view.  The Article draws from the statutory text of the poll taxes, the administrative guidance issued by the enforcers of the poll taxes, and the protest materials of those liable for the poll taxes. The article deploys a comparative study of four poll taxes to then arrive at broader conclusions about poll taxes specifically and tax policy more generally.

Continue reading

September 20, 2022 in Colloquia, Scholarship, Tax, Tax Scholarship, Tax Workshops | Permalink

Monday, September 19, 2022

Thomas Presents Fake News And The Tax Law Today At Loyola-L.A.

Kathleen DeLaney Thomas (North Carolina; Google Scholar) will present Fake News and the Tax Law (with Erin Scharff (Arizona State)) at Loyola-L.A. today as part of its Tax Policy Colloquium hosted by Theodore Seto:

Thomas (2022)The public misunderstands many aspects of the tax system. For example, people frequently misunderstand how marginal tax rates work, misperceive their own average tax rates, and believe they benefit from tax deductions for which they are ineligible. Such confusion is understandable given the complexity of our tax laws. Unfortunately, research suggests these misconceptions shape voter preferences about tax policy which, in turn, impact the policies themselves.

That people are easily confused by taxes is nothing new. However, with the rise of social media platforms, the speed at which misinformation campaigns can move to shape public opinion is far faster now. The past five years have seen a dramatic shift in the landscape of false information, and scholars in a variety of disciplines, from law to psychology to journalism, have explored the increasing influence of fake news.

Continue reading

September 19, 2022 in Colloquia, Scholarship, Tax Scholarship, Tax Workshops | Permalink