By Dr. Jeremy Horpedahl, ACRE Director and UCA Associate Professor of Economics The Arkansas General Assembly has now completed 7 weeks of its 2023 Regular Session. While there is still a lot more work to be done this year, we’ve already seen some major developments, and at ACRE we are closely watching several pieces of […]
State Solutions to Local Tax Burdens
By Joseph Johns, ACRE Policy Analyst Arkansas has reduced its state income tax in recent years. However, Arkansans still face considerable tax burdens at the local level. Taxpayers face multiple local tax burdens that chip into their earnings and reduce the overall well-being of Arkansas’s citizens. Currently, there are two bills before the Arkansas legislature […]
Taxes and Inflation in Arkansas
by Joseph Johns, ACRE Policy Analyst Consumer price inflation hit 40-year highs in 2022. The rapid increase in prices has already hit households hard in their wallets as they buy everyday goods and services. But for taxpayers in Arkansas, there could be another hidden cost of inflation: your taxes could be going up in real […]
Recent Tax Cuts in Arkansas Haven’t Cut Into the State Budget
By Jeremy Horpedahl, ACRE Director Beginning in 2015, Arkansas has been making gradual reductions in both personal and corporate income tax rates. The cumulative personal income tax reductions could be saving middle-income families in Arkansas $2,000-$5,000 every year, as an analysis by ACRE Policy Analyst Joseph Johns shows. Not only has the top income tax […]
Arkansas Celebrates Historic-Low Income Tax Rates
by Joseph Johns, ACRE Policy Analyst The Arkansas General Assembly has been making historic strides toward reducing the cost of living for Arkansas families. Following the tax changes made in a special session last month, Governor Hutchinson has now enacted a total of five tax cut packages during his administration. The top marginal income tax […]
Arkansas Special Session Roundup: Legislature Accelerates Tax Cuts
By Joseph Johns The Arkansas Legislature adjourned its Special Session today after accelerating income tax cuts it passed during special session of late 2021. The legislature chose to move the tax cuts forward due to a historic state surplus of over $1.6 billion as of June 30, 2022. SB1 lowered the top marginal individual income […]
What Should Arkansas Do With Its Budget Surplus? Better Budget Rules Are Needed in the Future
by Joseph Johns Arkansas recently reported the highest budget surplus in state history, a record-setting $1.628 billion as of June 30, 2022. While this is good news in some respects, the true history of state surpluses reveals a disturbing trend that needs to be addressed. Arkansas has run a surplus for 22 of the past […]
Should Attracting Business to Arkansas Rely on Legislation That Plays Favorites?
by Dr. Jeremy Horpedahl The arrival of Pittsburgh-based U.S. Steel Corp’s new sustainable and technologically advanced mill in Osceola, Arkansas promises to bring jobs and revenue to the state. This is something most of us can get behind. However, the way the deal was secured raises concerns for a free and fair marketplace. The legislature […]
What’s the Rush? Upcoming Special Election in Conway is Important, but Turnout May Be Low
by Dr. Jeremy Horpedahl In just a few days on February 8th, Conway residents will be asked to vote on almost $40 million worth of bond issues. “Bond issues” may sound boring, but these would fund new amenities in Conway: a community center, pool, fitness center, and soccer complex. Conway residents have reason to be […]