The Institute on Taxation and Economic Policy
What's New
Microsoft Reports a 2.44 Percent Federal Tax Rate on a Record $101 Billion in Profits
July 29, 2026 • By Matthew Gardner
Microsoft avoided federal income tax on almost all of its U.S. income for fiscal year 2026. The company’s 2.44 percent federal tax rate on over $100 billion of U.S. income is largely attributable to tax breaks that were either created or expanded by Republican tax cuts enacted at the behest…
State Rundown 7/29: The Misguided, Miserly Missouri Amendment to Eliminate the Income Tax
July 29, 2026 • By ITEP Staff
Missouri voters are facing a major decision at the ballot box next week on Amendment 5, which would amend the state constitution to allow lawmakers to eliminate the individual income tax and expand the state’s sales tax on any good or service to make up for lost revenue.
Flying Under the Tax Radar: How Profitable Airlines Avoided Federal Income Taxes in 2025
July 27, 2026 • By Sarah Buttikofer, Spandan Marasini
Corporate tax disclosures reveal that five profitable airlines paid almost nothing in federal income tax last year. In 2025, the effective federal income tax rates of these airlines ranged from 1.07 percent to below zero.
The Campaign by Former Democratic Officials to Stop Taxes on the Wealthy Is Back
July 24, 2026 • By Steve Wamhoff
A former Democratic senator from Nebraska has joined Saving America’s Family Enterprises and taken up its cause of opposing wealth taxes.
Congressional Republicans Say D.C. Shouldn’t Be Allowed to Run Its Own Tax System
July 23, 2026 • By Matthew Gardner
This week a U.S. House of Representatives committee approved a bill that would effectively take away Washington, D.C.’s fiscal autonomy, requiring Congressional approval of any new D.C. laws that increase taxes or fees.
ITEP in the News
Bloomberg News: Microsoft's US Taxes Drop, Revenue Jumps After Trump Cuts
Bloomberg Tax: Weaker Minimum Book Tax Rules Save Meta, Qualcomm Billions
USA TODAY: States are relying more on sales taxes. Here's why that matters
CBS Missouri: What would eliminating income tax mean for Missourians?
Business Insider: States want to tax the rich less. They're taxing your purchases more.
ITEP Work in Action
Economic Opportunity Institute: What the Millionaires Tax would mean for Washington
Senator Elizabeth Warren: Warren, King Seek Data on Tax Break for Ultra-Wealthy Expanded by Republicans in One Big Beautiful Bill
Senator Chris Van Hollen: Van Hollen, Pettersen Lead Lawmakers in Introducing Legislation to Bring Transparency to Corporate Abuse of Tax Havens, Job Offshoring
Center on Budget and Policy Priorities: Missouri Tax Amendment Likely to Seriously Harm Services, Shift Taxes Onto Working Families
California Budget and Policy Center: Should Voters Approve Prop. 3? How Top Tax Rates Have Helped Californians
ITEP Videos
Video: Our tax system helped Elon Musk become a trillionaire.
Video: Jimmy Kimmel Cites ITEP’s Corporate Tax Avoidance Work
Video: Taxes on second luxury homes makes sense.
Across the States
Tax Watch
State Tax Watch 2026
ITEP tracks tax discussions in legislatures across the country and uses our unique data capacity to analyze the revenue, distributional, and racial and ethnic impacts of many of these proposals. State Tax Watch offers the latest news and movement from each state.
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Learn more about state taxes across the country, read Who Pays?
State Rundown & On the Map
On the Map
Taxes on Adult-Use Cannabis in Each State
Twenty-three states have legalized the sale of cannabis for general adult use. Every state allowing legal sales applies an excise tax to cannabis based on…
When Did Your State Enact a Child Tax Credit?
The Child Tax Credit (CTC) is an important tool to fight child poverty and help families make ends meet. When designed well, it can also…
State & Local Tax Policy
Congressional Republicans Say D.C. Shouldn’t Be Allowed to Run Its Own Tax System
July 23, 2026 • By Matthew Gardner
Localities Try Vacant Land Taxes, Mansion Taxes and Second Home Taxes, while States Stick to Same-old Tax-cut Strategies
July 21, 2026 • By Rita Jefferson
The Changing Landscape of State Tax Rates
July 21, 2026 • By Sarah Austin
State Tax Expenditures Deserve a Closer Look
July 20, 2026 • By Brooklyn Ramirez
