Tax Wealth but not the Warren Way

Senator Warren’s proposal is inadequate because it arbitrarily imposes the net worth tax on households with $50 million or more in assets. It is not a serious attempt to tax wealth. Targeting the super-rich is a symbolic effort that has widespread political appeal. Her proposal imposes heavy compliance costs that will only add to the IRS bureaucracy.

Cutting SALT Is Good For America’s Health

This piece first appeared in Forbes (November 22, 2017). Americans consume a lot of sodium, and many doctors believe it would do us good to cut back on the salt. The recent debate over federal tax reform has highlighted a different kind of salt that we should also cut: the state and local tax (SALT) deduction. Many…

It’s Hard to Know If The Proposed 401(k) Tax Rule Will Hurt or Benefit Savers

All that said, it’s difficult to know whether we will be worse off on average if Congress eliminates the current 401(k) tax benefit, since any cost-benefit analysis depends on largely unknown future tax rates. Moreover, this is just a small part of a broader plan we haven’t seen yet, and so it’s best to withhold judgement until we can make a fair comparison between a final plan and current tax policy.