Extension of Favorable Tax Rates on Capital Gains and Dividends
In December 2010, ICI applauded the enactment of a tax bill that maintains and extends the current tax rates on capital gains and dividends for two years. The two-year extension prevents tax increases on investments by Americans saving for retirement, a home, higher education, or other financial goals.
Without enactment of this legislation, the tax rates on investment income were scheduled to increase on January 1, 2011. The top tax rate for capital gains would have increased from 15 percent to 20 percent. Dividends would have been taxed as ordinary income, rather than capital gains, and would have been subject to a top tax rate of 39.6 percent.
This page provides information on ICI’s efforts to help persuade Congress to extend the capital gains and dividends tax rates.
ICI Coalition Work
ICI is a member of the Alliance for Savings & Investment (ASI), a diverse group of dividend-paying companies, investor organizations, and trade associations that support maintaining and making permanent the existing tax rates for capital gains and dividends for all taxpayers.
- ICI: Enactment of Tax Bill Extending Current Tax Rates on Investments Comes at Critical Time and Brings Certainty Dec 18, 2010
- ICI Applauds Congressional Passage of Tax Bill Dec 17, 2010
- ICI: Fund Investors, Economy Will Benefit from Certainty and Lower Tax Rates on Investments Dec 15, 2010
- An Overview of the Expiring Tax Provisions Apr 26, 2010
- ICI Submits Statement on Tax Reform to President's Economic Recovery Advisory Board (pdf) Oct 20, 2009