CBO: Federal Taxes Progressive Post-Pandemic, 2022
The Congressional Budget Office published updated 2022 estimates on household income distribution, including federal transfers and taxes. The Tax Foundation's analysis of this data shows the federal tax system remains progressive, with effective rates ranging from 1.4% for the bottom quintile to 23.2% for the top quintile and 31.5% for the top 1% of earners. Since 1979, the top 1% of households saw income after taxes and transfers rise 144%, while the lowest quintile doubled and middle quintiles grew roughly 65%.
Windfall Taxes on Oil and Gas Create Negative Consequences
The Tax Foundation published research analyzing the EU's 2022-2023 windfall profits taxes on fossil fuel companies. The EU temporarily imposed a 'solidarity contribution' on oil, gas, coal, and refining sectors, with rates ranging from 25 percent in the United Kingdom to 80 percent in Slovenia. Sixteen of 27 EU Member States applied the tax while seven adopted equivalent national measures. Revenue collected totaled €26.15 billion, slightly exceeding the €25 billion estimate.
Prakash Mehta, 72, Pleads Guilty, $200,901 Restitution
A Mecklenburg County businessman pleaded guilty to three counts of Embezzlement of State Property for failing to remit North Carolina Sales Tax. Prakash Mehta, 72, was sentenced to a 16 month minimum, 29 month maximum prison term (suspended), placed on 24 months supervised probation, ordered to complete 120 hours of community service, and paid $200,901.12 in restitution. The charges stemmed from embezzling $200,901.12 in sales tax collected during January 1, 2022 through March 31, 2024.
H. 4216 Modifies South Carolina Income Tax Rates, Deductions, and EITC
South Carolina Governor Henry McMaster signed H. 4216 into law on March 30, 2026, modifying individual income tax rates to a flat 1.99% for income below $30,000 and 5.21% minus $966 for income of $30,000 and above. The law decouples South Carolina from federal standard and itemized deductions, establishing a new South Carolina Income Adjusted Deduction (SCIAD) of $15,000 for single filers, $22,500 for head of household, and $30,000 for married filing jointly. The Earned Income Tax Credit is limited to $200.
Customs Duty Repayment Changes for Northern Ireland Businesses
HMRC has published The Customs (Northern Ireland) (EU Exit) (Amendment) Regulations 2026, amending customs duty repayment rules for businesses bringing goods into Northern Ireland. The changes modify the Duty Reimbursement Scheme (DRS) to allow eligible businesses to switch relief amounts from the Customs Duty Waiver Scheme (CDWS) to DRS awards. The measure also permits DRS claims for goods held in common stock of interchangeable goods where individual item monitoring is impractical.