Reagan Signs Tax Reform Act of 1986 - Top Individual Rate Cut from 50% to 28%, Corporate Rate Slashed from 46% to 34%, Tax Brackets Reduced from 16 to 2

On October 22, 1986, President Ronald Reagan signed the Tax Reform Act of 1986 (TRA86) into law, implementing the most dramatic restructuring of the federal tax code since World War II. The legislation reduced the number of individual income tax brackets from 16 to just 2, slashing the top marginal …