In a contribution to the Policy Dialogue on Entrepreneurship blog of Kauffman.org. Joseph Rosenberg and Donald Marron examine how tax policy affects investment incentives for startup companies. Startups often make losses, and thus cannot make immediate use of the R&D tax credit, accelerated...
As income increases, the composition of income changes substantially. For most taxpayers, salaries and wages contribute the most. But higher-earners typically report income from capital gains and businesses.
The composition of reported income has changed markedly since 1952. Investment income has continued to grow, along with business income, interrupted only by periodic economic downturns. Meanwhile, salaries and wages have declined as a share of income.
This document describes the income measure the Tax Policy Center (TPC) uses to analyze the distribution of federal taxes. TPC's income measure, which we call "expanded cash income" (ECI), is a broad measure of pre-tax income. We use it both to rank tax units in distribution tables and to...
How Much Do Taxes Affect Startup Investment Incentives
In a contribution to the Policy Dialogue on Entrepreneurship blog of Kauffman.org. Joseph Rosenberg and Donald Marron examine how tax policy affects investment incentives for startup companies. Startups often make losses, and thus cannot make immediate use of the R&D tax credit, accelerated...
Composition of Income Reported on Tax Returns in 2012
As income increases, the composition of income changes substantially. For most taxpayers, salaries and wages contribute the most. But higher-earners typically report income from capital gains and businesses.
Changes in Income Reported On Federal Tax Returns
The composition of reported income has changed markedly since 1952. Investment income has continued to grow, along with business income, interrupted only by periodic economic downturns. Meanwhile, salaries and wages have declined as a share of income.
Measuring Income for Distributional Analysis
This document describes the income measure the Tax Policy Center (TPC) uses to analyze the distribution of federal taxes. TPC's income measure, which we call "expanded cash income" (ECI), is a broad measure of pre-tax income. We use it both to rank tax units in distribution tables and to...