House votes to hold back alternative minimum tax for a year

[Freddie Stubbs]

Associated Press

WASHINGTON (AP) - At least 9 million taxpayers would escape the alternative minimum tax next year under a bill the House passed Wednesday.

The alternative minimum tax, designed to trap high-income tax evaders, ensnares more middle-income taxpayers each year. About 3 million taxpayers, some of whom live in high tax states or have numerous children, paid the tax this year.

The House voted 333-89 to pass a bill designed to keep those on the edge of the alternative minimum tax from falling into its grasp next year, preventing it from imposing an extra $17.8 billion in taxes.

"While Congress is studying a long-term fix to correct the AMT problem, it is imperative that we act now and make certain that we do not increase the number of hardworking taxpayers who are subjected to the AMT," said Rep. Rob Simmons, R-Conn.

more: http://www.billingsgazette.com/index.php?id=1&display=rednews/2004/05/05/build/nation/39-alternativeminimumtax.inc

[Robbien]

1. Oh great, another tax cut

On top of the marriage tax credit, on top of foreign business tax credit and now on top of more money to bomb Iraq.

Who is paying for this these days, anyone?

[papau]

2. Seems the Dem alternative to exclude from Alt Min those under $250,000

just did not affect the right group!

:-)

[mulethree]

3. that might have passed by itself

but they stuck in that bit about corporations not being able to use tax loopholes unless there was a valid business reason, they would stop deals and transactions that are made solely as a means to reduce business taxes.

Ooh can't have honesty in a tax code! A move like that would harm many of our most creative accountants and tax lawyers!

[Freddie Stubbs]

4. More Democrats supported this tax cut than opposed it

So I'm not so sure that it is that bad of a thing. Even Bernie Sanders voted for it.