I don't think the Fed cares about tax revenues. It's not their job to care about that. However, keeping interest rates low keeps the servicing of the national debt low and that they probably care about. After all, that is why they lowered rates in the first place, so people can borrow money and pay very little interest when they do. The fact that the government can do it as well was not unnoticed by the Fed I am sure. I don't think that whether money gets doubled taxed or not figures into any decisions they make. They look at things from a higher level than that and this double taxation issue is a second order effect. There are always second order effects and if you base your decision on them then you will find enough reasons to do nothing such that nothing will ever get done. Everyone realizes this except for the worry wart who never makes a decision for fear of the second order effects.