Jobs And Growth Tax Relief Reconciliation Act of 2003 - JGTRRA

Dictionary Says

Definition of 'Jobs And Growth Tax Relief Reconciliation Act of 2003 - JGTRRA'


A U.S. tax law, passed by Congress on May 23, 2003, that lowered the maximum individual income tax rate on corporate dividends to 15%. The act also reduced the long-term individual income tax rate on capital gains to 15%. The act was signed by President George W. Bush on May 28, 2003, and was intended to amplify the effects of the

Economic Growth and Tax Relief Reconciliation Act of 2001.

Investopedia Says

Investopedia explains 'Jobs And Growth Tax Relief Reconciliation Act of 2003 - JGTRRA'


The JGTRRA was put forward as part of an effort to jump-start the U.S. economy. The law significantly reduced the amount of tax paid by investors on dividends and capital gains. This development made it much more attractive for public companies to pay cash dividends to shareholders (instead of holding onto their cash and reinvesting it into expanded operations). Thus, after the enactment of the JGTRRA, the number of U.S. companies paying regular dividends increased substantially.

comments powered by Disqus
Hot Definitions
  1. Chicago Mercantile Exchange - CME

    The world's second-largest exchange for futures and options on futures and the largest in the U.S. Trading involves mostly futures on interest rates, currency, equities, stock indices and agricultural products.
  2. Private Equity

    Equity capital that is not quoted on a public exchange. Private equity consists of investors and funds that make investments directly into private companies or conduct buyouts of public companies that result in a delisting of public equity.
  3. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  4. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  5. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
  6. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
Trading Center