Tax Reduction Act of 1975

The United States Tax Reduction Act of 1975 provided a 10-percent rebate on 1974 tax liability. It created a temporary $30 general tax credit for each taxpayer and dependent.
It started the Earned Income Tax Credit, which, at the time, provided an income tax credit to certain individuals. The EITC gave a tax credit to individuals who had at least one dependent, maintained a household, and had earned income of less than $8,000 during the year. The tax credit was $400 for individuals with earned income of less than $4,000. The tax credit was an amount less than $400 for individuals whose income was between $4,000 and $7,999 during the year.
The investment tax credit was temporarily increased to 10 percent through 1976.
The minimum standard deduction was temporarily increased to $1,900 for one year.
For one year, the percentage standard deduction was increased to 16 percent of adjusted gross income, up to $2,600 if married filing jointly, $2,300 if single, or $1,300 if married filing separately.
The bill became public law 94–12 when it was signed by President Gerald Ford on March 29, 1975.