ZERO CAPITAL GAINS TAX CAUCUS

“If the capital gains tax were eliminated, that we would presumably, over time, see increased economic growth which would raise revenues for personal and corporate taxes as well as other taxes that we have...[the] major impact [of a capital gains], as best I can judge, is to impeded entrepreneurial activity and capital formation...I argued that the appropriate capital gains tax rate was zero...”
- Federal Reserve Chairman Alan Greenspan in testimony before the Senate Banking Committee on February 25, 1997

The goal of the Zero Capital Gains Tax Caucus is to explore capital gains tax reform and the beneficial effects it will have on capital formation and economic growth in our country. The bicameral caucus will serve as a forum for respected economists and policy experts to discuss various capital gains tax reform measures.

There's obviously strong support for reducing the capital gains tax. Federal Reserve Chairman Alan Greenspan has said we should reduce it. So what are we waiting for? I hope this important Caucus will generate a real debate on the merits of our ideas.

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Legislation: H.R. 196 Bill to allow individuals to defer recognition of reinvested capital gains distributions from regulated investment companies Congressman Jim Saxton Press Release - Taxes Loom As Largest Expense to Mutual Fund Shareholders Joint Economic Committee - U.S. Congress Study - Providing Tax Equity for Mutual Fund Investors: Changing the Tax Treatment of Capital Gains Distributions Joint Economic Committee - U.S. Congress Dear Colleague on H.R. 196 Congressman Jim Saxton Fact Sheet on H.R. 196 Congressman Jim Saxton H.R. 809 Bill to make permanent the individual income tax rates for capital gains and dividends Congressman Eric Cantor H.R. 1500 The Investment Tax Simplification Act Congressman David Dreier Bill Summary Congressman David Dreier Section-by-Section Congressman David Dreier More Info Congressman David Dreier H.R. 1772 The FairTreatment for Precious Metals Investors Act Congressman J.D. Hayworth Bill Summary Congressman J.D. Hayworth	Research: American Council for Capital Formation - Capital Gains Tax American Council for Capital Formation The ABCs of the Capital Gains Tax The Cato Institute Replacing the Scandal-Plagued Corporate Income Tax with a Cash-Flow Tax The Cato Institute A Capitol Gains Tax Cut: The Key to Economic Recovery Institute for Policy Innovation U.S. Capital Formation: How the U.S. Tax Code Discourage Investment Institute for Policy Innovation Capitalization of Capital Gains Taxes: Evidence from Stock Price Reactions to the 1997 Rate Reduction National Bureau of Economic Research The Character and Determinants of Corporate Capital Gains National Bureau of Economic Research National Center for Policy Analysis - the Capital Gains Tax National Center for Policy Analysis Small Business and Entrepreneurship Council - the Capital Gains Tax Small Business and Entrepreneurship Council Majority of Seniors Benefit from Reduced Capital Gains and Dividends Tax Rates The Tax Foundation
Caucus Members
House Members David Dreier (Co-Chairman) Robert Aderholt Todd Akin Roscoe Bartlett Bob Beauprez Roy Blunt Henry Bonilla Mary Bono John Boozman Henry Brown Michael Burgess Ken Calvert Dave Camp Chris Cannon Eric Cantor Chris Chocola Howard Coble Mike Conaway Ander Crenshaw John Culberson Jo Ann Davis Tom Davis John Doolittle John Duncan Phil English Terry Everett Tom Feeney Jeff Flake Randy Forbes Scott Garrett Jim Gibbons Wayne Gilchrest Paul Gillmor Bob Goodlatte Ralph Hall Melissa Hart Doc Hastings Robin Hayes JD Hayworth Joel Hefley Wally Herger Peter Hoekstra Darrell Issa Ernest Istook William Jenkins Sam Johnson Walter Jones Ric Keller Sue Kelly Jack Kingston Joe Knollenberg Jim Kolbe Tom Latham Jerry Lewis	Frank Lucas Donald Manzullo Jim McCrery Howard ‘Buck’ McKeon Jeff Miller Sue Myrick Devin Nunes Ron Paul Steve Pearce Mike Pence John Peterson Joseph Pitts Adam Putnam George Radanovich Jim Ramstad Dennis Rehberg Tom Reynolds Dana Rohrabacher Ilena Ros-Lehtinen Paul Ryan Jim Ryun Pete Sessions John Shadegg Clay Shaw John Shimkus Rob Simmons Mike Simpson Lamar Smith Mark Souder John Sullivan Thomas Tancredo Patrick Tiberi Fred Upton Zach Wamp Ed Whitfield Roger Wicker Joe Wilson Senate Members Richard Shelby (Co-Chairman) Wayne Allard George Allen Jim Bunning Saxby Chambliss Larry Craig Michael Crapo John Ensign Michael Enzi Judd Gregg Orrin Hatch Kay Bailey Hutchison James Inhofe Jon Kyl Trent Lott Arlen Specter