海角大神

The other day, a Daily Deduction reader asked why I used the phrase 鈥渢ax relief鈥� as a synonym for 鈥渢ax cuts.鈥� He suggested that 鈥渞elief鈥� is a loaded term that implies taxes are too high and therefore bad, and that tax cuts, in turn, are good.聽That hadn鈥檛 occurred to me. When I think of relief, I think of 鈥渁 remission of tax normally due.鈥�

Does 鈥渞elief鈥� influence perception? My immediate test: I asked my soon-to-be fourth- and sixth-graders. 鈥淲hat does 鈥榬elief鈥� mean to you?鈥� My son answered, 鈥淧hew!鈥� I prodded further: 鈥淎nd what about 鈥榯ax relief?鈥欌�� My daughter explained, 鈥淭hat鈥檚 when 测辞耻鈥檙别 so glad you don鈥檛 have to pay something anymore.鈥� Indeed.

The question takes on a particular importance on the heels of the two party conventions鈥攚hose entire purpose is to influence voters. When it comes to taxes, how much can they be swayed by perception?

Start with this: Americans kind of聽濒颈办别听paying taxes. Vanessa Williamson of the Brookings Institution聽finds聽that most of us see the act as one of patriotism and a source of pride. Given that, are we especially vulnerable to a framer鈥檚 influence?

鈥淭ax relief鈥� is a pretty common frame used by politicians in both parties. Republican presidential nominee Donald Trump promises聽tax relief for middle class Americans. 聽Democratic presidential nominee Hillary Clinton says on聽her website聽that she鈥檒l 鈥減rovide tax relief to working families.鈥�

But who鈥檚 to say whether tax relief is too generous or a tax burden is too heavy?聽 Taxpayers, that鈥檚 who. Could a single word change their willingness to pay?

A 2009 study by Stian Reimers聽of聽University College London聽shows that it may take more than a word, but that taxpayers can be very sensitive to framing.

Reimers was testing people鈥檚 views about progressivity in the tax system. It turned out that their responses were highly sensitive to the way he asked the questions. For example, they were more supportive of progressivity when a tax was described in percentages rather than amounts. When the unit of tax was in amounts people were more supportive of progressivity when they saw a tax calculated as a reduction in after-tax income rather than the amount of tax paid.

Why? Reimers thinks it may be because the idea of 鈥渢axes paid鈥� refers to your contribution to society, and thinking of 鈥渁fter-tax income鈥� draws your focus to how taxes affect your standard of living.

Maybe framing is more effective when it gives people a chance tap their own experience, rather than ponder an abstract idea.

Then again鈥攖here are feelings to consider, and they may be easier to tap. A University of Southern California聽study聽found that people approach a tax policy decision with their own feelings, or ideals, in mind. But 鈥渋n a complex area such as tax, independently attractive ideals are often in conflict, and the result is shifting, inconsistent preferences.鈥澛�

Those inconsistent preferences, the study concludes, are easy to manipulate. Taxpayers鈥� knowledge of an issue can counteract any unfair influence, but 鈥渢he costs of learning are high, and the benefits of knowledge 鈥� given the miniscule input the average citizen has on policy formation 鈥� tiny鈥� What incentive do politicians of either party have for explaining the complexities and conflicts involved?鈥�

Unfortunately, not much. Look at how relatively quickly public opinion of the聽estate tax聽soured. In 2001, an estimated 50,500聽estates owed聽$23.7 billion for the 鈥渢ax on your right to transfer property at your death.鈥� (That is 2 percent of the 2.4 million people who passed away that year.) That same year, Congress voted to phase out the tax in the Economic Growth and Tax Relief Reconciliation Act. Why? Michael Graetz and Ian Shapiro聽argue聽that a clever lobbying campaign aimed at people鈥檚 emotions trumped the facts. In 2004, pollster聽Frank Luntz聽offered one explanation for how opponents did it.

鈥淟ook, for years, political people and lawyers鈥攚ho, by the way, are the worst communicators鈥攗sed the phrase 鈥榚state tax.鈥� The public wouldn't support [its repeal] because the word 鈥榚state鈥� sounds wealthy. Someone like me comes around and realizes that it's not an estate tax, it's a death tax, because you're taxed at death. And suddenly something that isn't viable achieves the support of 75 percent of the American people. It's the same tax, but nobody really knows what an estate is. But they certainly know what it means to be taxed when you die.鈥�

Others, including Graetz and Shapiro, argue it took more than a simple word change. But whether it鈥檚 with one word or more, framing can have an impact. Where does that leave the average taxpayer in an election season riddled with efforts to sway our beliefs?

Think about it this way: Tax policy is complicated and confusing. Are you able to form a strong opinion on a policy quickly? Good for you鈥� but before you get too comfortable, it might be a good idea to see if聽测辞耻鈥檙别聽being framed.

The聽Tax Hound, publishing the first Wednesday of every month, helps make sense of tax policy for those outside the tax world and connects tax issues to everyday concerns.聽

This story originally appeared on TaxVox.