About: Tax Reduction Act of 1975

The United States Tax Reduction Act of 1975 provided a 10-percent rebate on 1974 tax liability ($200 cap). It created a temporary $30 general tax credit for each taxpayer and dependent. The investment tax credit was temporarily increased to 10 percent through 1976. The minimum standard deduction was temporarily increased to $1,900 (joint returns) for one year. For one year, the percentage standard deduction was increased to 16 percent of adjusted gross income, up to $2,600 if married filing jointly, $2,300 if single, or $1,300 if married filing separately.