Economic Recovery Tax Act of 1981

[AI summary unavailable — showing source text] Economic Recovery Tax Act of 1981- Title I: Individual Income Tax Provisions - Amends the Internal Revenue Code to reduce individual and estate and trust income tax rates for 1982, 1983, and 1984 and thereafter. Reduces the highest marginal tax rate on all types of income from 70 to 50 percent, effective in 1982. Repeals the 50 percent maximum tax rate on personal service income, effective in 1982. Reduces the alternative minimum tax and the personal holding company tax to correspond with the reductions in the highest marginal tax rates. Establishes a maximum tax rate on long-term capital gains of 20 percent for sales and exchanges occurring and or after June 9, 1981. Decreases from one year to six months the holding period required for long-term capital gain or loss treatment. Allows a tax credit equal to one and one-fourth of an individual's regular tax liability for taxable year 1981. Revises withholding requirements to provide for withholding reductions of five percent in 1981, ten percent in 1982, and ten percent in 1983. Authorizes the Secretary of the Treasury to issue regulations permitting workers to increase or decrease their withholding allowances. Allows married individ…