No. of Recommendations: 2
Peter: "Let’s not whitewash this bill. It was a tax cut for the wealthy, not a tax increase."
Yes, this is true, certainly not trying to whitewash it.
The point I was trying to make was that Reagans Tax Reform Act of 1986 included many things that would make todays MAGA sect flip their hoods!
Examples:
The act mandated that capital gains be taxed at the same rate as ordinary income, raising the maximum tax rate on long-term capital gains to 28% from 20%.
It expanded the AMT, the least tax that an individual or
corporation must pay after all eligible exclusions, credits, and deductions have been taken.
It eliminated the partial tax exclusion of dividends received by individuals.
It also reduced the allowances for certain business expenses, such as business meals, travel, and entertainment and restricted deductions for certain other expenses.
It Lengthened depreciation schedules for business assets. This slowed down the rate at which companies could deduct the cost of capital investments.
The act significantly expanded the Earned Income Tax Credit, which provides tax benefits to low-income working families:
The EITC became the largest cash transfer program for lower-income families at the federal level. Almost two-thirds of single low-income mothers faced no tax burden on their income from work after this expansion.
https://www.investopedia.com/terms/t/taxreformact1... 