Would a Capital Gains Tax Cut Increase or Reduce Government Revenue?

Policy Backgrounders | Taxes

No. 103
Friday, July 27, 1990
by John C. Goodman

Last year the House passed a capital gains tax cut which subsequently died in the Senate.  The Joint Committee on Taxation (JCT) prediceted the bill would reduce federal revenues by about $60 billion over the next decade.  The National Center for Policy Analysis predicted the bill would increase federal revenue by $60 billion.  Congressional opponents of a capital gains tax cut agreed with the JCT.  Congressional supporters agreed with the NCPA.

For complete publication: bg103.pdf

Read Article as PDF