# Tax Equity and Fiscal Responsibility Act **The Tax Equity and Fiscal Responsibility Act of 1982 (TEFRA, P.L. 97-248)**, signed by [[Ronald Reagan]] on September 3, 1982, was the first walk-back of the [[Economic Recovery Tax Act]]. Treasury scores it as raising revenue by 0.98% of GDP over four years, about a third of ERTA's cost. It did so mainly by repealing ERTA's scheduled speed-ups in depreciation, tightening safe-harbor leasing, adding 10% withholding on interest and dividends, and raising excise taxes. ERTA's individual rate cuts and indexing were left untouched. [[Bruce Bartlett]] called it "the largest peacetime tax increase in American history." See [[Reagan Tax Cuts]].