Economic Recovery Act of 1981

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Definition: Economic Recovery Act of 1981

Economic Recovery Act of 1981

Quick Summary of Economic Recovery Act of 1981

The Economic Recovery Act of 1981 (ERTA) was a tax cutting initiative.

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Full Definition of Economic Recovery Act of 1981

ERTA had several provisions. These provisions are itemized below:

  • Across the board tax cut
  • Indexed tax rates to the rate of inflation
  • Cut top rate on the long-term capital gains tax to 20% from 28% and cut the rate on dividends, interest, and royalties to 50% from 70%.
  • Lowered Marriage penalty tax
  • Allowed all working people to open IRA’s
  • Created the All-Savers Certificate
  • Allowance for reinvesting public utility dividends
  • Reductions in estate taxes and gift taxes
  • Lowered the tax rate on the exercise of stock options
  • Change rules on accelerated depreciation and investment credit

Synonyms For Economic Recovery Act of 1981

ERTA

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April 20, 2024 https://payrollheaven.com/define/economic-recovery-act-of-1981/.
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Economic Recovery Act of 1981. PayrollHeaven.com. Retrieved April 20, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/economic-recovery-act-of-1981/

Definition Sources

Definitions for Economic Recovery Act of 1981 are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 5th August, 2021 | 0 Views.