The lower tax rates, first passed in 2003, have played a vital role in fueling the growth of a strong and vibrant economy. The U.S. economy has created over 5 million jobs and boosted GDP by an average of nearly 4 percent annually, since their passage.
“The lower tax rates on capital gains and dividends have already yielded tremendous economic results, which is why it was imperative that they be extended through 2010,” said Marc Lackritz, president of SIA. “This extension provides investors and businesses more certainty and ensures that the economy’s growth remains on track.”
“This extension is the crown jewel of the tax reforms enacted during the Bush Administration. It has produced over 5 million new jobs and record economic growth,” added Richard Hunt, senior vice president, federal policy. “This legislation is critical for Americans preparing to retire. With 78 million Baby boomers about to enter retirement, this provision helps ensure that they will be financially prepared.”
