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Comment by Tracy Gordon

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Senior fellow at the Tax Policy Center, researching state and local public finance and federal fiscal policy.
AI’s gains are likely to keep flowing disproportionately to capital, income that’s already taxed more lightly than labor. Closing that gap would likely do more for the fiscal outlook than a narrow tax on AI and help fund responses to its costs.
Unverified (Aug 7, 2026)
Source:
Tracy Gordon and Elena Spatoulas Patel, “AI Tax Debate Misses The Threat That’s Already Here,” Tax Policy Center, August 7, 2026.
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Governments should tax capital, not labor, as AI makes human work less central to the economy
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