“Extending these tax reforms will help maintain the period of economic growth, job creation and prosperity originally ignited in 2003, when they were first enacted. Since then, these reforms have contributed to the formation of almost 4.4 million new jobs and economic expansion that has averaged more than four percent. And, in 2005, these reforms provided unexpected, increased revenue to the U.S. Treasury measuring $274 billion,” said Lackritz.
“Extending these tax rates also provides much-needed certainty and stability to investors, especially the more than 76 million Americans who are deciding how best to save for retirement -- decisions based in part on the tax treatment of their investments,” added Lackritz. “As they make these plans, they are looking at horizons of five or more years. Whipsawing the tax rates back and forth can reduce investor confidence and change investors’ calculus.”
A recent, nationwide survey for Eaton Vance Corporation, conducted by Penn, Schoen & Berland Associates, Inc., revealed that 9 out of 10 investors (89%) say the impact of taxes on their investment returns is important to them.
“We thank those in the House that supported this measure for their bold and decisive action and for their understanding of the long-term, positive implications this vote has for the economy,” added Richard Hunt, SIA’s Senior Vice President for Federal Policy. “We encourage Congress to complete their work on tax reform this year which will send a powerful and positive signal to America’s investors and to the market.”
SIA specifically singled-out Speaker of the House Dennis Hastert (R-IL), Acting Majority Leader Roy Blunt (R-MO), Chief Deputy Majority Whip Eric Cantor (R-VA) and House Ways and Means Committee Chair Bill Thomas (R-CA) for thanks regarding their leadership on this important issue.
