CCH: Thanks for reporting the AMT news accurately!
=====================
tax.cchgroup.com
>>>5/5/2004
House Passes AMT Relief Extension
On May 5, 2004, by a vote of 333 to 89, the House passed the Middle Class Alternative Minimum Tax Relief Bill of 2004 (HR 4227). The bill would extend and slightly increase the AMT exemption amounts through 2005. The bill, with a ten-year cost of $17.8 billion, now moves to the Senate, where it is not likely to be considered as a stand-alone, unfunded tax bill, but is likely to be considered as part of a larger bill.<<<
..............
tax.cchgroup.com
>>>House Republicans Plan AMT Vote
The House plans to vote this week on a measure extending alternative minimum tax (AMT) relief for one year to middle class taxpayers. It is the second of four bills House Republicans plan during the next four weeks to extend tax cuts enacted during the Bush Administration (TAXDAY, 2004/04/28, C.1) and is expected to pass.
The Middle-Class Alternative Minimum Tax Relief Bill of 2004 (HR 4227) would extend by a year the higher AMT exemption levels for income in the Jobs and Growth Tax Relief Reconciliation Act of 2003 (P.L. 108-27). The amounts, $58,950 for joint filers and $40,900 for singles, would be indexed to inflation.
Without HR 4227, the exemption amount would drop to $45,000 for married couples and $33,750 for single taxpayers in 2005. This would push eight million taxpayers onto AMT tax rolls, according to House Republicans.
House Democrats plan to offer a substitute that would exempt from the AMT all single taxpayers earning less than $125,000 ($250,000 for joint filers), said House Minority Whip Steny H. Hoyer, D-Md. It would cost $19 billion during the next 10 years. However, it would be offset by cracking down on corporate tax loopholes, he explained. Nevertheless, most Democrats will vote for HR 4227 to avoid being "demagogued "by Republicans during the 2004 campaign, he commented. Hoyer was not sure if he would join them.
HR 4227 would cost $17.8 billion over 10 years, according to the Joint Committee on Taxation. It is not offset.
By Dave Hansen, CCH News Staff<<< |
