Temporary Reduction of Capital Gains Tax

2003 Tax Bill: In 2003, the US Senate narrowly passed a tax relief bill that President Bush called "a vital action that will stimulate the economy and create jobs." This new bill cut the Long Term Capital Gains Tax Rate to just 15%. Unless extended, this rate reduction expires in 2008. Historical Rates: As illustrated on the right, historical capital gains tax rates have fluctuated considerably. The rate is now at a 60 year low representing a windfall for business owners that sell now. Historically, the rate has changed every 4 years and future rates are obviously impossible to predict.

 

 

 

 

 

 

 

 

Aquisition Activity & Values are Increasing