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Tuesday, February 14, 2006
Economic Report of the President Released
February 13 President Bush issued his 2006 Economic Report to Congress. The eleven chapters cover many issue areas including the workforce, retirement savings, the U.S. tax system, and the financial services sector. The chapter on taxation discussed the U.S. tax system's high corporate tax rate and double taxation of corporate profits. This attention reflects the Bush administration's dedication to extending low investment tax rates.
The report mentioned tax reforms that have taken place in other countries, including reducing corporate income rates, reducing taxation of capital income, and introducing flat taxes. It also mentioned two of the recommendations made by the President's Advisory Panel on Federal Tax Reform recommendations -- the Simplified Income Tax (SIT) and Growth and Investment Tax (GIT) -- but stated that each plan would require a large transition and that action on them will not happen any time soon.
Posted by Becky Lewis
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