Hello AMT

Waterbury Republican-American ^ | April 26, 2010 | Editorial

[Graybeard58]

Back when he was running for president, Barack Obama vowed he'd never, ever raise taxes on individuals earning less than $200,000 a year or families earning less than $250,000.

But of course he wasn't speaking for his allies in the Senate, who last Wednesday revealed a plan that would hit more than 30 million people with tax increases averaging $3,700 a year, starting in 2012.

The vehicle would be the alternative minimum tax. Enacted four decades ago, the AMT was never indexed for inflation, so every year it potentially applies to more people who would have been considered wealthy in 1970.

To stop that from happening, Congress "patches" the AMT every year. Among other things, the long-term spending plan unveiled Wednesday by Budget Committee Chairman Kent Conrad, D-N.D., eliminates the annual patch. As a result, the Tax Policy Center, a joint project of the Brookings Institution and the Urban Institute, says 33 million taxpayers would face the AMT in 2012, adding $3,700 on average to their tax liabilities.

A big, broad and hidden tax increase from a Democratic Congress? Anyone surprised by that must also still believe in the Easter Bunny and the Tooth Fairy.

[Graybeard58]

Ping to a Republican-American Editorial.

If you want on or off this list, let me know.

[bamahead]

Libertarian ping! Click here to get added or here to be removed or post a message here!
View past Libertarian pings here

[Ancesthntr]

The irony is that it will hit those in the high-tax states the hardest (by denying them the benefit of deducting their state taxes paid) - and, if memory serves me, every single one of those states voted for the Obashyster. Most of those states also have 2 Dem senators. While I feel badly for those FReepers caught in those states and by this change, for the others it is schadenfreude time.

P.S. Texas has no state income tax and a lower cost of living than most places. Oh, and lots of land for everyone - so we welcome any conservative refugees from high tax states.

[Lady Jag]

Yeah, so what else is new.

[Minipax]

Oops, did we forget to index the AMT to inflation?

I'm sure this bracket creep was a complete accident.

[Chode]

and America takes another one in the........
rlmorel

[Diana in Wisconsin]

Note to self: Live even further below my means and hide as many assets as legally possible.

At least until President Sarah is in charge and some semblance of sanity is returned to Amerika. :)

[rockinqsranch]

Thanks for that ping Graybeard.

Brookings, and that other institute mentioned are Leftist are they not. I need verification here. If I’m correct then the $3700.00 is probably low.

[hyperconservative]

Thanks for the ping.

[nutmeg]

ping!

Thanks for the heads up on this one, Graybeard58.

[HuntsvilleTxVeteran]

The animal democrats use “the Jackass” should be changed
to a unicorn because everything about this administration
seems to be fake!

[Man50D]

It's time to end the monstrosity known as the federal income tax code and its long arm thug the IRS that has the power to intrude into every aspect of our lives. It will only worsen so long as the federal income tax code exists.

The answer has been before each session of Congress since 1999. It's called The Fair Tax Act(HR25/S296). The Fair Tax will replace all federal income taxes with a national sales tax by imposing the tax only once, at the point of sale, and abolish the IRS! Fair Tax ping!