We analyze the profit shifting behavior of U.S. multinational firms using a unique panel data set of U.S. tax returns over the period 2002-2012. Prior research has found significant effects of tax rates in affiliate and parent countries on the profit shifting behavior of multinational entities,...

In the United States, marginal tax rates on capital income and ordinary income (e.g. wages and salaries) can vary substantially. The same household might face a federal tax rate on their wage income that is 20 percentage points higher than the tax rate on long-term capital gains. This...

We explore bunching at U.S. income tax kinks using a panel of 258 million tax returns from 1996 to 2014. We find bunching at seven kinks, with nearly all bunching occurring at kinks maximizing tax credits. In our sample period, the total number of bunchers increased at an 11 percent annualized...

Appendix A provides a more exhaustive discussion of the bunching we see in the data. It also shows how our bunching estimates vary under alternative parameter choices and polynomial degrees. Appendix B provides descriptive statistics of our Main Sample. Finally, Appendix C discusses the kinks we...

This paper presents new estimates of the level and persistence of poverty among U.S. households since the Great Recession. We build annual household data files using U.S. income tax filings between 2007 and 2018. These data allow us to track individuals over time and measure how tax policies...