Professor Adam Thimmesch’s article “A Future for the State Corporate Income Tax,” was published in The Tax Lawyer.
The article critically evaluates the state corporate income tax and its role in states' efforts to raise revenue. Specifically, the article addresses the tax's known flaws, but Thimmesch identifies and analyzes a wide range of practical, legal, and political limitations that states face in creating tax systems that align with theoretically superior systems that do not include that tax. As a result, the article argues that the elimination or reduction of the state corporate income tax may create more problems for states than it solves. He thus offers suggestions for how to improve the functioning of that tax instead of abandoning that important source of state revenue.
