Developments Of Note
President Bush Signs $1.35 Trillion Tax Cut Legislation
On June 7, 2001, President Bush signed into law legislation that provides $1.35 trillion of tax relief, The Economic Growth and Tax Relief Reconciliation Act of 2001 (the "Act"). Items covered in the Act which are of particular importance to financial institutions include provisions concerning education tax breaks, estate tax repeal, a new 10% income tax bracket and pension reform and retirement savings incentives. Some provisions of the Act are effective immediately while others are phased in over time. All provisions of the Act sunset (i.e., do not apply) effective for taxable years beginning after or transfers made after December 31, 2010.
