Impact of U.S. Tax Law and Policy on African Americans: A Historical Review

• In Event: Racial Issues

Abstract

Throughout its history, the US tax law and policies, at both the federal and state levels, have disproportionately impacted African Americans. This paper will conduct a historical review of the impact of tax laws and policies, starting from the days of slavery all the way through to the 21st century, on African Americans at both the federal and state levels. This paper will examine the importance of the slave taxes (taxes imposed on slave owners based on the number of slaves owned) which was a significant source of revenues for some southern states until the Civil War when slavery was abolished. The federal government imposed a tax on the importation of slaves; these taxes were used primarily to finance wars. The paper will examine other tax laws and policies that affected other facets of African American lives including education. The paper will conclude with an examination of recent tax laws and policies that continue to disproportionately impact African Americans including higher Internal Revenue Service tax audits in heavily populated African American counties and the negative impact of the Tax Cuts and Jobs Act on bridging the racial wealth divide between Whites and African Americans.

Key words: taxes, racial

Authors

• Jean Wells, Howard University

• Gwendolyn McFadden, North Carolina A&T State University