As I write this, it looks like the Bush tax cuts will be extended for the next two years. While this be a relief to many and cause consternation to others, in the long term, it's not that significant until the more important factor of government spending is addressed.For months political wrangling has caused great uncertainty for the tax rates we'll see in the coming years. Whether it's for an individual, a family or a business, if there is a high probability that tax rates will go up, these groups will be more restrained with their money. There is no question that at the individual level taxes matter, especially in the short term.
David A. Pace, CFA
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