Council CEO stresses importance of retirement savings incentives
The law of unintended consequences threatens to wreak havoc with the nation’s retirement system as Washington grapples with a monstrous budget gap and considers options to reform the tax code.
Policymakers are considering tax reform options that would reduce tax rates for individuals and corporations in exchange for eliminating or reducing various tax expenditures. The President’s bipartisan deficit commission and the Senate “Gang of Six” both proposed reforming, but not eliminating, tax incentives for retirement savings. Another proposal would replace existing tax deferrals with refundable tax credits.