July 11, 1962 - The Kennedy Administration gave business a $1.5 billion tax cut today in the form of more liberal allowances for depreciation of machinery and equipment. The Treasury issued new rules and guidelines that will enable business concerns and individual businessmen, including farmers and other self-employed persons, to deduct the cost of machinery and equipment from their taxable income more rapidly than most are now permitted to do. The Treasury’s action, culminating years of study that began during the Eisenhower Administration, was a long-awaited and welcome gesture to business. It was designed to stimulate investment in modern and more efficient facilities and thus increase the country’s productivity, spur economic growth and employment, and enable American producers to compete more effectively for world markets. (Pictured below are President Kennedy with Secretary of the Treasury Douglas Dillon).