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May 30, 2023

The undersigned organizations strongly encourage consideration of a simple policy to quickly address the impacts of inflation on working families, investors, and businesses across America – capital gains indexing.

Congress long ago addressed “bracket creep” by indexing personal tax rates, and other parts of the tax code are also indexed to inflation (alternative minimum tax, estate and gift taxes, earned income tax credit, retirement plan contribution limits, and others), but has failed to index capital gains taxes. Doing so would provide immediate relief from the ravages of inflation.

Even if the current inflation moderates, the couple of years that taxpayers have already endured will create ripple effects for years as people sell capital assets. Some policymakers seek to increase taxes and double down on inflationary policies, but the better answer for millions of Americans is to free investment capital and tax people fairly on actual gains, not artificial “paper gains.”

Government should not profit from inflation. The costs basis for capital gains should be indexed to inflation, like other income taxes.

Wil Armstrong, Chairman
The Armstrong Project

Saul Anuzis, Jim Martin
60 Plus Association

Ryan Ellis, President
Center for a Free Economy

Jeff Hunt, Director
Centennial Institute

Travis Korson, Public Policy,
Frontiers of Freedom

Mario H. Lopez, President
Hispanic Leadership Fund

Pete Sepp, President
National Taxpayers Union

Bob Carlstrom
Association of Mature
American Citizens Action

Tom Giovanetti, President
Institute for Policy Innovation

Phil Kerpen, President
American Commitment

Andrew Langer, President
Institute for Liberty

Gary Marx, President
Concord Fund

Grover Norquist
Americans for Tax Reform

Horace Cooper, Chairman
Project 21

Heather R. Higgins, CEO,
Independent Women’s Voice

Karen Kerrigan, President
Small Business and Entrepreneurship Council

Carol Platt Liebau, President
Yankee Institute

David McIntosh, President
Club for Growth

Steve Moore
Committee to Unleash Prosperity

Steve Posiask, President/CEO
American Consumer Institute

Greg Sindelar, President
Texas Public Policy Foundation

Nick Yaksich, Government Relations
Land Improvement Contractors
of America

Seton Motley, President
Less Government

Charles Sauer, President
The Market Institute

James Taylor, President
Heartland Institute

Cesar Ybarra, V.P. for Policy

Alfredo Ortiz, President
Job Creators Network

Richard Stern, Preston Brashers
The Heritage Foundation

David Williams, President
Taxpayers Protection Alliance

Tyler Yzaguirre, President
Second Amendment Institute