WASHINGTON - Today marks the 21st anniversary of the signing of the Tax Reform Act of 1986 by President Ronald Reagan. The landmark, bipartisan measure began with a series of discussions between the Democratic-led Congress and the Reagan Administration and culminated with a revenue-neutral bill providing tax relief to millions of American families and a significant reduction in the corporate marginal tax rate.
“The time for a serious discussion on tax reform is long overdue," said Ways and Means Chairman Charles B. Rangel (D-NY). “Later this week I will introduce a tax relief and simplification package to provide benefits to more than 90 million American families while also helping ensure that our companies remain competitive internationally. It is my hope that the Bush Administration will seize this opportunity, as the Reagan Administration did 21 years ago, to work with Congress to simplify the tax code and put money back in the pockets of working families. It has been 21 years - it’s time to talk."
Later this week, Chairman Rangel will introduce legislation to provide tax relief for millions of working families through a permanent repeal of the individual alternative minimum tax and enhancement of other tax benefits while also significantly improving the competitiveness of American businesses. As in 1986, this proposal would be fully offset by closing loopholes and otherwise adjusting current law to provide greater equity and fairness in the tax code while also encouraging businesses to invest and incorporate in the United States. Chairman Rangel’s legislation will be the most comprehensive overhaul of the U.S. tax code introduced since the 1986 Act.
