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View Diary: The true culprit behind AMT: Bush's tax cuts (7 comments)

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  •  the AMT is an annoyance (2+ / 0-)
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    Sacramento Dem, robert harding

    You can tell just by looking at it the type of people they are targeting. But you don't have to be all that high-salaried before they make you jump through the hoops of doing all the AMT calculations and filling out the silly form which then shows that your withholding tax was bigger than what your AMT tax would be. At least from what I can see, it's another form that obviously does not apply to me that I have to keep filling out. Maybe at a higher salary you would have to pay something even if you didn't take any of the strange deductions that are listed. So they should probably slightly raise the lower limits for both having to fill the damn thing out and paying something greater than what you had withheld if none of the exotic deductions were involved, say by 50% or something. There, that was easy, why does Congress have to make a big deal of it?

    •  True... (1+ / 0-)
      Recommended by:
      Sacramento Dem

      but the AMT was formed to provide additional taxation for the wealthy. Now, instead of keeping it in place, they want to get rid of it completely. If they do that, it will benefit the rich more than the average citizen.

      Support our troops... not the war.

      by robert harding on Wed Dec 12, 2007 at 10:24:45 PM PST

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      •  When I read your title I had something else in (1+ / 0-)
        Recommended by:
        robert harding

        mind. The AMT like a lot of other provisions of the tax code is often used to continue the illusion that our fiscal policy is responsible. Even when every member of congress knows some tax break is going to be extended they still have thier bean counters pretend it's all going to end at some magic date. The AMT is a bit complicated and while it may be progressive, I think it would be easier just raising the top rate (or creating a new top rate). I always have to fill out the form to show I don't have to pay AMT and I don't take any exotic deductions and I don't have a six figure income (just having kids and a house is enough sometimes). My regular taxes are typically in the 15% braket so moving into a 26% braket would be a shock. I like your info, but just like some farmer who can't leave his farm to his son due to the estate tax, people will pull out the crazy outliers to make the point that the AMT is cruel to the middle class.

        . There have been tyrants and murderers and for a time they seem invincible but in the end, they always fall -- think of it, ALWAYS. Mahatma Gandhi

        by Sacramento Dem on Thu Dec 13, 2007 at 12:07:50 AM PST

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        •  the main problem is excessive deductions (0+ / 0-)

          The AMT is designed to basically put a cap on how many tax deductions well-off people can have. The real solution to that would be to do away with many of them, or at least phase them out with increasing income, but that turns out to be politically hard to do (god forbid anyone touch the sacred right of people who own 5-million-dollar houses to deduct their mortgage interest). So the AMT is the next best thing, in putting a cap on it.

          "See a world of tanks, ruled by a world of banks." —Sol Invictus

          by Delirium on Thu Dec 13, 2007 at 02:50:27 AM PST

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          •  I thinking taxing capital gains as regular income (0+ / 0-)

            would be a better route. I am sick of paying higher tax rates because I actually work for a living.

            . There have been tyrants and murderers and for a time they seem invincible but in the end, they always fall -- think of it, ALWAYS. Mahatma Gandhi

            by Sacramento Dem on Thu Dec 13, 2007 at 11:40:11 AM PST

            [ Parent ]

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