https://i0.wp.com/genderpolicyreport.umn.edu/wp-content/uploads/2017/11/1040.png?fit=1024%2C768 768 1024 Debra Fitzpatrick http://genderpolicyreport.umn.edu/wp-content/uploads/2016/12/gendereport.png Debra Fitzpatrick2017-11-28 16:54:152017-11-29 19:22:13Tax Proposals: A Missed Opportunity for Addressing Implicit Gender Bias
Broadly, the tax bill before Congress (in both its House and Senate versions) proposes to cut the standard corporate tax rate from 35 percent to 20 percent, reduce personal income tax rates, reduce a range of tax preferences, including the deductibility of state and local income taxes, and increase the child tax credit and the standard deduction. The “sunsetting provisions” of many of the changes in the personal income tax suggest that the most important long-run effect would be the reduction in the corporate tax rate, and experts agree that the bill will bring disproportionate benefits to the wealthiest of the wealthiest Americans. It’s difficult, though, to see how the tax bill will perform in terms of gender equity. All we can say for sure is that it represents a missed opportunity to move toward a more gender-neutral individual tax system or to use the personal income tax to better support working women.