It's been almost 30 years since the last major federal tax system overhaul, and the chances of real reform in the next year look grim. But as usual, there's some hope in the states, and reformers may want to direct their efforts there.
Reforms can greatly enhance a state's competitiveness. For example, when North Carolina simplified its tax code, it moved from 44th to 15th in the Tax Foundation's business-climate rankings in a single year.
Policymakers often look for the silver bullet when it comes to finding revenue sources, but the most effective solution may be more nuanced. In a