Jobs And Growth Tax Relief Reconciliation Act of 2003


DEFINITION of 'Jobs And Growth Tax Relief Reconciliation Act of 2003'

An act passed by congress that was intended to improve the economy of the United States by reducing the taxes collected, giving the population more money to spend. The act was passed in May 2003 and signed into law shortly after.

BREAKING DOWN 'Jobs And Growth Tax Relief Reconciliation Act of 2003'

The passing of the Jobs and Growth Tax Relief Reconciliation Act of 2003 lowered the tax rate applied to dividend income by making this income count as capital gains instead of as a part of normal income. The act also simplified rules relating to qualifying retirement plans and increased the personal tax exemption amount of the 'alternative minimum tax'.

  1. Dividend

    A distribution of a portion of a company's earnings, decided ...
  2. Income Tax

    A tax that governments impose on financial income generated by ...
  3. Adjusted Gross Income - AGI

    A measure of income used to determine how much of your income ...
  4. Capital Gain

    1. An increase in the value of a capital asset (investment or ...
  5. Tax Rate

    The percentage at which an individual or corporation is taxed. ...
  6. Alternative Minimum Tax - AMT

    A tax calculation that adds certain tax preference items back ...
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  1. What is the double taxation of dividends?

    After all is said and done, companies that have made a profit can do one of two things with the excess cash. They can (1) ... Read Full Answer >>
  2. Why is the Cayman Islands considered a tax haven?

    The Cayman Islands is one of the most well-known tax havens in the world. Unlike most countries, the Cayman Islands does ... Read Full Answer >>
  3. Why is Panama considered a tax haven?

    The Republic of Panama is considered one of the most well-established pure tax havens in the Caribbean due to extensive legislation ... Read Full Answer >>
  4. How do I get out of my annuity and transfer to a new one?

    If you decide your current annuity is not for you, there is nothing stopping you from transferring your investment to a new ... Read Full Answer >>
  5. Are Cafeteria plans exempt from Social Security?

    Typically, qualified benefits offered through cafeteria plans are exempt from Social Security taxes. However, certain types ... Read Full Answer >>
  6. Why is Andorra considered a tax haven?

    Andorra is one of many locations around the globe considered a tax haven because of its relatively lenient tax laws. However, ... Read Full Answer >>

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  2. Gross Profit

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