Tuesday, June 26, 2007

An Alternative Minimum Tax Fix in the Works!!

Out-STANDING news for Wisconsin residents who are also taxpayers.

Rob Andrews (D-NJ) and Frank LoBiondo (R-NJ) have teamed up to introduce H. R 2318. It amends the Internal Revenue Code IRC) so that the state and local tax deduction is not a preference item in the computation of AMT. It is a two sentence amendment to the IRC. It was introduced on May 15, 2007 and referred to the House Committee on Ways and Means.
Now it is up to the rest of us.

If you live in a state (like NJ or NY or CA [or WISCONSIN]) which has high income taxes and high property taxes or both, this legislation gives you relief. It removes the double and triple taxation of the same income without offset.

Call your Representative and ask her/him to co-sponsor the Andrews-LoBiondo bi-partisan bill, H.R. 2318. Tell her/him that you are holding them accountable for fixing the AMT. They created it. They can amend it.

Apparently the Congressmen didn't have the nerve (or interest) to make the child-deduction a "preference-item", however, so raising more than the PC-acceptable 2.5 children will remain a highly-taxed burden.

The AMT has been a significant revenue-gaining device for the Feds over the years, but has been particularly painful for Wisconsin taxpayers.

Do what the quote suggests: call your Congresscritter. Get this amended to include children, and get it passed.

HT: The Big Picture

1 comment:

Anonymous said...

Very good news, indeed.

Let's hope it holds up.