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CRS GETS ACTS TOGETHER.

MAR. 4, 1991

91-234 E

DATED MAR. 4, 1991
DOCUMENT ATTRIBUTES
  • Authors
    Talley, Louis Alan
  • Institutional Authors
    Congressional Research Service
  • Index Terms
    CRS
  • Jurisdictions
  • Language
    English
  • Tax Analysts Document Number
    Doc 91-2021
  • Tax Analysts Electronic Citation
    91 TNT 58-46
Citations: 91-234 E

                          Louis Alan Talley

 

                    Research Analyst in Taxation

 

                         Economics Division

 

 

                           April 20, 1990

 

                        Revised March 4, 1991

 

 

SUMMARY

This report provides a chronological listing of all significant Federal tax laws by popular name. Also included is the public law number for each of these acts. This listing is not a complete one. There are other laws (not included here) which have changed the Internal Revenue Code but because their impact was slight we have chosen not to include them in this tabulation. Also not included in this listing are tariff bills and social security legislation unless other significant tax provisions were included in the same legislation.

The revenue projections have typically come from the conference report but, when not available from that source, may have been derived from the House and/or Senate reports on the tax bill. Of course, the estimates are based on the House or Senate report most closely akin to the finally enacted tax act. These revenue estimates do not reflect actual revenues raised. The revenue estimates should be considered "ball park" estimates and not precise dollar amounts. In all cases, the best data available has been provided.

These projected revenue effects should not be added or subtracted to come up with overall figures for total tax cuts or increases over several years. One reason is that price level changes and growth in the economy tend to increase the revenue effect. As a consequence, the same tax provision, if adopted in different years, would have different revenue effects. Stated simply, revenue estimates made in different years are made on different bases and therefore should not be added or subtracted. An additional reason why the projected revenue effects should not be added or subtracted is that several acts contain provisions which were later modified or removed from the tax laws, so that an accurate tax revenue projection would require adjustment to reflect revenue effects in later years. It should also be remembered that revenue estimates are just that -- estimates -- based on assumptions and projections of future activity rather than a compilation of data on events that have already transpired.

TABLE OF CONTENTS

TABLE 1. Principal Tax Acts 1954-1990: Revenue Estimates

TABLE 2. Principal Tax Acts 1954-1990: Public Law Numbers

TAXES: SIGNIFICANT FEDERAL TAX ACTS, 1954-1990

This report provides a listing by popular name of significant tax acts passed since enactment of the Internal Revenue Code of 1954. Public Law numbers and revenue increases and decreases projected at the time of enactment are given herein. Not included in this listing are tariff bills and social security legislation.

The revenue projections have come from a variety of sources. Because some of the revenue estimates for the earlier acts come from committee reports, hearings, etc., they are based on the House or Senate bill most closely akin to the finally enacted tax act. As such, these early revenue projections might not be as accurate as if new estimates had been made either shortly before or after each act became law. They do not reflect actual revenues raised; that information, with the exception of the Crude Oil Windfall Profit Tax Act of 1980, does not exist. The revenue estimates given in this report, then, should be considered "ball park" estimates and not precise dollar amounts. Before 1966, revenue estimates were generally made only for the year immediately following passage. In recent years, revenue estimating has become more sophisticated and revenue projections are made for an increased number of years. In all cases, we have provided the best data available. For some acts (particularity those before 1966), no dollar estimate is available. In those cases, only the general direction of an increase or decrease in revenues is provided.

These projected revenue effects should not be added or subtracted to come up with overall figures for total tax cuts or increases over several years. One reason is that price level changes and growth in the economy tend to increase the revenue effect. As a consequence, the same tax provision, if adopted in different years, would have different revenue effects. Stated differently, revenue estimates made in different years are made on different bases and therefore should not be added or subtracted. An additional reason why the projected revenue effects should not be added or subtracted is that several acts contain provisions which were later modified or removed from the tax laws, so that an accurate tax revenue projection would require adjustment to reflect revenue effects in later years. It should be borne in mind that revenue estimates are just that -- estimates -- based on assumptions and projections of future activity rather than a compilation of data on events that have already transpired.

The Crude Oil Windfall Profit Tax Act of 1980 required the Department of Treasury to estimate the amount of revenues derived each year from the tax and report those findings to Congress. It is worth noting that there is disparity between the amount of revenues estimated by Congress when the Act was passed and the amount of revenues actually raised. This is most evident in FY 1982 and FY 1983. For FY 1982, the Joint Committee on Taxation (JCT) had estimated that the tax would generate $16.9 billion; yet only $9.5 billion was raised. For FY 1983, the JCT estimate was $17.7 billion, but only $5.7 billion was raised.

This example illustrates the point that the revenue figures presented were based on projections of future economic behavior. Because the level of tax revenues collected by the Federal Government is strongly influenced by the level of the economic activity, an unforeseen downswing (or upswing) in the economy can result in less (or more) revenue being generated by each act.

Another example can be found by examining the Tax Equity and Fiscal Responsibility Act of 1982. When the Act was passed, both JCT and the Congressional Budget Office (CBO) predicted that approximately $18.0 billion would be raised in FY 1983, $37.7 billion in FY 1984, and $42.7 billion in FY 1985 (estimates for later years differed). However, due to the actual performance of the economy in FY 1983, and revised economic projections for FY 1984 and FY 1985, CBO (in February 1985) reduced its estimates of the revenue effects of the Act. CBO estimated that $16 billion was raised in FY 1983, and projected that $34 billion would be raised in FY 1984, $37 billion in FY 1985.

Table 1, which follows, lists the principal tax acts and their projected revenue effects. Table 2 gives the public law numbers of the individual tax acts.

                               TABLE 1.

 

            PRINCIPAL TAX ACTS 1954-1990: REVENUE ESTIMATES

 

 ______________________________________________________________________

 

 

 Internal Revenue Code of 1954              $1.4 billion increase

 

 

 Tax Rate Extension Acts of 1955, 1956,     Continued corporate rates;

 

 1957, 1958, 1959, and 1960                 $2.5 billion increase

 

 

 Technical Amendments Act of 1958           Number of technical

 

                                            changes, particularly

 

                                            tobacco and alcohol

 

 

 Life Insurance Company Income Tax          Revision of the method of

 

 Act of 1959                                taxing life insurance

 

                                            companies

 

 

 Tax Rate Extension Acts of 1961, 1962,     Continued corporate and

 

 and 1963                                   excise tax rates at

 

                                            current levels

 

 

 The Revenue Act of 1962                    $1.245 billion decrease in

 

                                            Fiscal 1963

 

 

 The Revenue Act of 1964                    Decrease

 

 

 Excise Tax Rate Extension Act of 1964      Continued Korean War

 

                                            excise taxes an additional

 

                                            year

 

 

 Interest Equalization Tax Act of 1964,     Increases of less than $1

 

 Extensions in 1965, 1967 and 1969          billion

 

 

 Tax Adjustment Act of 1966                 $1.1-2.1 billion increase

 

                                            in Fiscal 1966; $4.8

 

                                            billion increase in Fiscal

 

                                            1967

 

 

 Federal Tax Lien Act of 1966               Administrative changes

 

 

 Foreign Investors Tax Act of 1966          Decrease

 

 

 Revenue and Expenditure Control            $1-1.1 billion increase in

 

 Act of 1968                                Fiscal 1968; $2.9-3.1

 

                                            billion increase in Fiscal

 

                                            1969

 

 

 Tax Reform Act of 1969 /a/                 $6.4 billion increase in

 

                                            Fiscal 1970; $0.3 billion

 

                                            increase in Fiscal 1971

 

 

 Revenue Act of 1971                        Decrease

 

 

 Tax Reduction Act of 1975                  2.8 billion decrease

 

 

 Tax Reform Act of 1976                     $15.733 bil. decrease in

 

                                            Fiscal 1977

 

 

                                            $12.785 bil. decrease in

 

                                            Fiscal 1978

 

 

                                            $ 6.849 bil. decrease in

 

                                            Fiscal 1979

 

 

                                            $ 7.364 bil. decrease in

 

                                            Fiscal 1980

 

 

                                            $ 6.191 bil. decrease in

 

                                            Fiscal 1981

 

 

 Tax Reduction and Simplification           $ 2.607 bil. decrease in

 

 Act of 1977                                Fiscal 1977

 

 

                                            $17.751 bil. decrease in

 

                                            Fiscal 1978

 

 

                                            $13.819 bil. decrease in

 

                                            Fiscal 1979

 

 

 Revenue Act of 1978                        $19.262 bil. decrease in

 

                                            Fiscal 1979

 

 

                                            $37.509 bil. decrease in

 

                                            Fiscal 1980

 

 

                                            $44.214 bil. decrease in

 

                                            Fiscal 1981

 

 

                                            $52.132 bil. decrease in

 

                                            Fiscal 1982

 

 

                                            $58.030 bil. decrease in

 

                                            Fiscal 1983

 

 

 Crude Oil Windfall Profit Tax              The windfall profit tax is

 

 Act of 1980                                expected to raise $3.1

 

                                            billion, with various

 

                                            reductions of $57 million

 

                                            in FY 80. In the following

 

                                            year, $13.4 billion

 

                                            will be raised with $564

 

                                            granted in reductions.

 

                                            The amounts continue to

 

                                            increase in the

 

                                            following years.

 

 

 Economic Recovery Tax Act of 1981          $ 1.565 bil. decrease in

 

                                            Fiscal 1981

 

 

                                            $ 37.656 bil. decrease in

 

                                            Fiscal 1982

 

 

                                            $ 92.732 bil. decrease in

 

                                            Fiscal 1983

 

 

                                            $149.963 bil. decrease in

 

                                            Fiscal 1984

 

 

                                            $199.202 bil. decrease in

 

                                            Fiscal 1985

 

 

                                            $267.742 bil. decrease in

 

                                            Fiscal 1986

 

 

 Tax Equity and Fiscal Responsibility       $17.959 bil. increase in

 

 Act of 1982                                Fiscal 1983

 

 

                                            $37.664 bil. increase in

 

                                            Fiscal 1984

 

 

                                            $42.698 bil. increase in

 

                                            Fiscal 1985

 

 

                                            $51.835 bil. increase in

 

                                            Fiscal 1986

 

 

                                            $63.931 bil. increase in

 

                                            Fiscal 1987

 

 

 Deficit Reduction Act of 1984              $ 1.143 bil. increase in

 

                                            Fiscal 1984

 

 

                                            $10.602 bil. increase in

 

                                            Fiscal 1985

 

 

                                            $16.594 bil. increase in

 

                                            Fiscal 1986

 

 

                                            $22.536 bil. increase in

 

                                            Fiscal 1987

 

 

                                            $25.270 bil. increase in

 

                                            Fiscal 1988

 

 

                                            $27.180 bil. increase in

 

                                            Fiscal 1989

 

 

 Tax Reform Act of 1986                     $11.538 bil. increase in

 

                                            Fiscal 1987

 

 

                                            $16.705 bil. decrease in

 

                                            Fiscal 1988

 

 

                                            $15.128 bil. decrease in

 

                                            Fiscal 1989

 

 

                                            $ 8.048 bil. increase in

 

                                            Fiscal 1990

 

 

                                            $11.990 bil. increase in

 

                                            Fiscal 1991

 

 

 Omnibus Budget Reconciliation              $ 9.413 bil. increase in

 

 Act of 1987                                Fiscal 1988

 

 

                                            $14.415 bil. increase in

 

                                            Fiscal 1989

 

 

                                            $15.825 bil. increase in

 

                                            Fiscal 1990

 

 

 Technical and Miscellaneous Revenue        $421 mil. increase in

 

 Act of 1988                                Fiscal 1989

 

 

                                            $414 mil. increase in

 

                                            Fiscal 1990

 

 

                                            $421 mil. increase in

 

                                            Fiscal 1991

 

 

 Revenue Reconciliation Act of 1989         $5.628 bil. increase in

 

                                            Fiscal 1990

 

 

                                            $3.638 bil. increase in

 

                                            Fiscal 1991

 

 

                                            $3.524 bil. increase in

 

                                            Fiscal 1992

 

 

                                            $5.133 bil. increase in

 

                                            Fiscal 1993

 

 

                                            $6.738 bil. increase in

 

                                            Fiscal 1994

 

 

 Revenue Reconciliation Act of 1990         $17.607 bil. increase in

 

                                            Fiscal 1991

 

 

                                            $30.222 bil. increase in

 

                                            Fiscal 1992

 

 

                                            $27.452 bil. increase in

 

                                            Fiscal 1993

 

 

                                            $31.421 bil. increase in

 

                                            Fiscal 1994

 

 

                                            $30.467 bil. increase in

 

                                            Fiscal 1995

 

 

                          FOOTNOTE TO TABLE 1

 

 

      /a/ Long-run effect = $2.5 billion decrease.

 

 

                               TABLE 2.

 

           PRINCIPAL TAX ACTS 1954-1990: PUBLIC LAW NUMBERS

 

 ______________________________________________________________________

 

 

 Internal Revenue Code of 1954    August 16, 1954    Public Law 83-591

 

 

 Tax Rate Extension Act of 1955   March 30, 1955     Public Law 84-18

 

 

 Tax Rate Extension Act of 1956   March 29, 1956     Public Law 84-458

 

 

 Tax Rate Extension Act of 1957   March 29, 1957     Public Law 85-12

 

 

 Tax Rate Extension Act of 1958   June 30, 1958      Public Law 85-475

 

 

 Technical Amendments             September 2, 1958  Public Law 85-866

 

 Act of 1958

 

 

 Life Insurance Company Income    June 25, 1959      Public Law 86-69

 

 Tax Act of 1959

 

 

 Tax Rate Extension Act of 1959   June 30, 1959      Public Law 86-75

 

 

 Tax Rate Extension Act of 1960   June 30, 1960      Public Law 86-564

 

 

 Tax Rate Extension Act of 1961   June 30, 1961      Public Law 87-72

 

 

 Tax Rate Extension Act of 1962   June 28, 1962      Public Law 87-508

 

 

 The Revenue Act of 1962          October 16, 1962   Public Law 87-834

 

 

 Tax Rate Extension Act of 1963   June 29, 1963      Public Law 88-52

 

 

 The Revenue Act of 1964          February 26, 1964  Public Law 88-272

 

 

 Excise Tax Rate Extension        June 30, 1964      Public Law 88-348

 

 Act of 1964

 

 

 Interest Equalization Tax        September 2, 1964  Public Law 88-563

 

 Act of 1964

 

 

 Interest Equalization Tax        October 9, 1965    Public Law 89-243

 

 Act of 1965

 

 

 Tax Adjustment Act of 1966       March 15, 1966     Public Law 89-368

 

 

 Federal Tax Lien Act of 1966     November 2, 1966   Public Law 89-719

 

 

 Foreign Investors Tax            November 13, 1966  Public Law 89-809

 

 Act of 1966

 

 

 Interest Equalization Tax        July 31, 1967      Public Law 90-59

 

 Act of 1967

 

 

 Revenue and Expenditure          June 20, 1968      Public Law 90-364

 

 

 Control Act of 1968

 

 

 Interest Equalization Tax        November 26, 1969  Public Law 91-128

 

 Act of 1969

 

 

 Tax Reform Act of 1969           December 30, 1969  Public Law 91-172

 

 

 Revenue Act of 1971              December 10, 1971  Public Law 92-178

 

 

 Tax Reduction Act of 1975        March 29, 1975     Public Law 94-12

 

 

 Tax Reform Act of 1976           October 4, 1976    Public Law 94-455

 

 

 Tax Reduction and Simplification May 23, 1977       Public Law 95-30

 

 Act of 1977

 

 

 Revenue Act of 1978              November 6, 1978   Public Law 95-600

 

 

 Crude Oil Windfall Profit Tax    April 2, 1980      Public Law 96-223

 

 Act of 1980

 

 

 Economic Recovery Tax            August 13, 1981    Public Law 97-34

 

 Act of 1981

 

 

 Tax Equity and Fiscal            September 3, 1982  Public Law 97-248

 

 

 Responsibility Act of 1982

 

 

 Deficit Reduction Act of 1984    July 18, 1984      Public Law 98-369

 

 

 Tax Reform Act of 1986           October 22, 1986   Public Law 99-514

 

 

 Omnibus Budget Reconciliation    December 22, 1987  Public Law 100-203

 

 Act of 1987

 

 

 Technical and Miscellaneous      November 10, 1988  Public Law 100-647

 

 Revenue Act of 1988

 

 

 Revenue Reconciliation           December 19, 1989  Public Law 101-239

 

 Act of 1989

 

 

 Revenue Reconciliation           November 5, 1990   Public Law 101-508

 

 Act of 1990
DOCUMENT ATTRIBUTES
  • Authors
    Talley, Louis Alan
  • Institutional Authors
    Congressional Research Service
  • Index Terms
    CRS
  • Jurisdictions
  • Language
    English
  • Tax Analysts Document Number
    Doc 91-2021
  • Tax Analysts Electronic Citation
    91 TNT 58-46
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