Pew Research Center » Taxes

Public wants tax reform. But what kind of reform?

Pew Research Center — Wed, 22 May 2013 12:30:53 +0000

Lawmakers begin their second day of hearings this week into the Internal Revenue Service’s actions in unfairly targeting conservative political groups for excessive scrutiny. Some of them are using the IRS’s missteps, as well as revelations Tuesday about Apple’s offshore tax shelters, as a reason to push ahead with a broader overhaul of the nation’s tax system.

“It just points out how complex the tax code is and the discretion then that is in the hands of the IRS because of the complexity of the code,” Rep. Dave Camp (R-Mich.), chairman of the House Ways and Means Committee, told Bloomberg TV. “A more transparent, simpler, fairer code is clearly the goal.”

The problem is that while Americans increasingly see the tax system in need of repair, there is no consensus about its biggest shortcomings. In a 2011 survey, there were huge differences in views between the rich and poor, and Republicans and Democrats, over where to start.

A survey earlier this month, before the IRS reports surfaced, found an unusual level of public agreement that the tax system needs sweeping changes. Overall, 72% said the nation’s tax system either needs major changes (40%) or to be completely rebuilt (32%). Just 26% said the system works pretty well or needs minor changes.

There’s a clear trend, too. The percentage saying the tax system needs at least major changes has risen 26 points since 2005, while the percentage saying it works pretty well has fallen 24 points. Most striking is that the rise among those who think the system needs major fixing has occurred across nearly all partisan and demographic groups.

Yet our major 2011 study of opinions about taxes found little agreement on a basic question: What bothers you most about taxes — the large amount you pay in taxes, the complexity of the current system, or the feeling that some wealthy people get away with not paying their fair share?

Surprisingly, relatively few people – just 11% – said their biggest complaint was the large amount they paid in taxes. Even among those with family incomes of $100,000 or more, only 17% said they were most bothered by how much they had to pay.

Rather, most people (57%) were bothered by what they saw as the system’s basic unfairness – “the feeling that some wealthy people get away with not paying their fair share.” Only about half as many – 28% – pointed to the tax system’s complexity.

This survey was conducted before this year’s fiscal cliff agreement, which raised taxes on most Americans and hit wealthy people with new, higher rates on income and investments. Still, it would take a major shift in attitudes for the public to say that the complexity of the tax system – and not its fundamental fairness – is the most bothersome thing about taxes.

Interest in IRS, Benghazi News Divided by Party

Pew Research Center — Mon, 20 May 2013 22:00:40 +0000

So far, public interest in a trio of controversies connected to the Obama administration remains limited. Republicans are following the stories much more closely.

How Americans Feel About Doing Taxes

Pew Research Center — Thu, 11 Apr 2013 15:45:08 +0000

As April 15 approaches, a majority of Americans have a negative reaction to doing their income taxes, but about a third say they either like or love doing their taxes.

How Do Americans Feel About Doing Their Taxes?

Pew Research Center — Thu, 11 Apr 2013 15:33:08 +0000

Most say they dislike – or even hate – doing their taxes, but about a third say they like it – or even love it. Click through the responses in this interactive to find out why.

Public Skeptical about a ‘Fiscal Cliff’ Deal

Pew Research Center — Tue, 18 Dec 2012 16:36:39 +0000

With less than two weeks to go before the nation goes over the fiscal cliff, the public remains pessimistic about the possibility that the president and Congress will reach an agreement by the Jan. 1 deadline.

Pessimism About Fiscal Cliff Deal, Republicans Still Get More Blame

Pew Research Center — Tue, 04 Dec 2012 19:59:12 +0000

With Washington making little apparent progress in efforts to avoid going over the “fiscal cliff,” most Americans are skeptical that the White House and Republicans will reach a deal. A majority would blame Republicans if talks fail.

Broad Concern about ‘Fiscal Cliff’ Consequences

Pew Research Center — Tue, 13 Nov 2012 16:52:39 +0000

The public is skeptical that President Obama and congressional Republicans will reach an agreement by the end of the year to avoid the fiscal cliff. About half say the two sides will not reach an agreement, while just 38% say they will.

Where the Public Stands on Government Assistance, Taxes and the Presidential Candidates

Pew Research Center — Thu, 20 Sep 2012 23:13:29 +0000

When the national conversation focuses on class, the social safety net and the distribution of wealth as it has in the past week, the public sees clear differences between Barack Obama and Mitt Romney, and Obama has an overall advantage.

Raising Taxes on Rich Seen as Good for Economy, Fairness

Pew Research Center — Mon, 16 Jul 2012 00:00:00 +0000

By two-to-one (44% to 22%), the public says that raising taxes on incomes above $250,000 would help the economy rather than hurt it, while 24% say this would not make a difference. Moreover, an identical percentage (44%) says a tax increase on higher incomes would make the tax system more fair, while just 21% say it would make the system less fair.

Most Democrats say raising taxes on incomes over $250,000 would help the economy (64%) and make the tax system more fair (65%). Republicans are more divided: 41% say this would hurt the economy, while 27% say it would help and 24% it would make no difference. And while 36% of Republicans say raising taxes on incomes over $250,000 would make the tax system less fair, 30% say this would make no difference and 25% say it would make the tax system more fair.

The latest national survey by the Pew Research Center for the People & the Press, conducted July 12-15 among 1,015 adults, finds that 58% identify Barack Obama as the presidential candidate who favors raising taxes to incomes above $250,000. Republicans (66%) and Democrats (64%) are more likely than independents (53%) to correctly associate Obama with this proposal.

Debt and Deficit: A Public Opinion Dilemma

Pew Research Center — Thu, 14 Jun 2012 04:00:00 +0000

By Andrew Kohut, President, Pew Research Center

The issue of the debt and the deficit – and what to do about it – has paralyzed Washington lawmakers. But when it comes to measures for reducing the deficit on which they might reach common ground, they will get little help in building support for an agreement by turning to public opinion.

In my years of polling, there has never been an issue such as the deficit on which there has been such a consensus among the public about its importance – and such a lack of agreement about acceptable solutions.

Read the full analysis.