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Thus, shareholders preferred to receive their profits via stock-price gains, which are driven.

Jun 04, But the final tax-cut bill the president signed into law at the end of May was far more modest, merely reducing the dividend tax to 15%, from a high of %, for investors in the top tax.

May 05, Dividend tax cut dead? Grassley to present package excluding dividend tax cut; Senate finance panel to discuss it Thursday. May 5, PM EDT. President Bushs speech on January 7,introducing the tax cut.

But Grassley is unenthusiastic about that approach, judging it to be shoddy tax policy, the Journal report said, quoting people close to the senator.

Both refer speci–cally to the dividend tax cut. 2The in⁄uential fiRyan Plansflof the U.S. House Committee on the Budget proposed to keep capital income tax rates low or to lower them further in order to fiprovide an immediate boost to a lagging economy by increasingCited by: Jan 16, Haven't we seen this god-awful movie before? Our story is usually set in the west somewhere, when a cowboy runs for president, vows to bolster the economy by cutting taxes for the rich folks who voted for him so that they will, in return, spend the billions they receive back on American goods and services, trickling down -- no -- flooding down to the middle and working classes faster.

dividend tax cut, in particular, is not credible as a short-term stimulus. As tax reform, the dividend tax cut is misdirected in that it targets individuals rather than corporations, is overly complex, and could be, but is not, part of a revenue-neutral tax reform effort.

Passing these tax cuts will worsen the long-term budget outlook, adding to.

The package also slightly reduced income-tax rates.

into law on May 28,but was first proposed by the Bush administration on January 7, The tax cut on dividend income was made retroactive to the beginning of Therefore, during the first two quarters ofcorporations knew that 1. More precisely, taxpayers in the bottom two income tax brackets (facing a regular marginal tax.