Taxsim for the FRB Survey of Consumer Finances

Here we have a combination of SCF files with additional variables suitable for input to the Taxsim program for calculating income tax liabilities. These Stata programs and Stata formatted data are from Swati Joshi (sjoshi@brookings.edu) and John Sabelhaus (jsabelhaus@gmail.com) and will allow users to use Taxsim on all the SCF files, which are included in this package. Suggested citation for users who download the data and programs are the two Brookings Tax Policy Center working papers associated with the project:
  1. Simulating Income Tax Liabilities in the Survey of Consumer Finances
  2. Taxing Business Incomes: Evidence from the Survey of Consumer Finances
but also cite this URL - http://taxsim.nber.org/to-taxsim/scf-tpc

Downloads

Notes

While written for Taxsim32, they should work equally well with Taxsim35, which will accept taxsim32 input files. Just change "taxsim32" to "taxsim35" in scf_taxsim_main.do.

If you would like to have a file of SCF data merged with taxsim input variables, making it easy to simulate tax liabilities and compare to non-tax variables, you can add a save statement just before the "drop x* Y* yy1" statement in scf_taxsim_main.do. The file with all years and all variables will be more than 3 GB, so you might prefer to keep a selection of variables.

If you just need to recreate the taxsim input variables, comment out the "erase taxunitinputfile" statement.

If all you need are the taxsim input variables, they are available above.

Qestions about taxsim should be directed to feenberg@nber.org. For questions about the program,please contact: Swati Joshi (sjoshi@brookings.edu) or John Sabelhaus (jsabelhaus@gmail.com). Development of this Stata program and accopanying documentation was generously supported by a grant from the Peterson Foundation.

Last update 7 January 2023 by drf