Tax Fact: In 1922 conservatives convinced Americans that lowering taxes on the wealthy would be good for business. The top tax rate on capital gains went from 73% in 1921 to 12.5% in 1922, and the top tax rate on income went from 73% in 1921 to 58% in 1922 and down to 25% in 1925. 4 years later we began what is known as the Great Depression, but the seeds for the Great Depression were planted in the tax cuts of 1922. Sound familiar? Fast-forward 80 years to 2001. Bush and the Republicans argued that lowering the tax rates of the wealthy would be good for business. How did those lower taxes work out in the 1920’s and for you 80 years later? Low tax rates for the privileged led to the Great Depression and the Great Recession.