Rep. Kind Urges Senate Republicans to Pass Responsible Relief for Alternative Minimum Tax
Without Congressional Action, the AMT Would Wrongly Capture 50,000
Middle-Class Families in Western Wisconsin, Substantially Raising Their Taxes
U.S. Rep. Ron Kind (D-WI) last night joined a majority in the House in again voting to pass responsible tax relief and prevent 50,000 western Wisconsin families from being captured by the Alternative Minimum Tax (AMT). The bill passed today is in direct response to a Senate Republican filibuster last week of a previous House-passed bill to provide AMT relief without adding to the national debt.
"For years, Republicans have been providing tax relief' that was deficit-financed - passing the debt on to future generations," Rep. Kind says. "They're at it again with the AMT - they'd rather add to our historic deficit than make the tough choices needed to protect 50,000 western Wisconsin families from a tax increase. This sort of obstructionist behavior has real effects on families across the country - and I urge them to come to a consensus and pass a responsible, budget-neutral bill as soon as possible."
The Alternative Minimum Tax was developed in the 1970s as a way to ensure that America's wealthiest could not take advantage of the tax code in a way that would allow them to avoid paying taxes altogether. However, the AMT has never been indexed for inflation, and without this legislation, it would reach into the pocketbooks of millions of middle-class families it was never intended to hit.
H.R. 4351 prevents the AMT from affecting 50,000 additional western Wisconsin families (23 million nationally) this year, many of whom have no idea they could face a tax increase. Wisconsin is one of the states that would be most greatly affected by the AMT, ranking 6th out of 50 in the number of new taxpayers (437,000) that would be captured without a fix.
Most importantly, the bill is fiscally responsible. It follows pay-as-you-go rules; the AMT patch is fully paid for by closing tax loopholes and eliminating narrowly-targeted tax breaks for corporations.
"The AMT fix must be paid-for," Rep. Kind added. "The difference is that Democrats want to pay for it now, and Republicans want to pass the cost on to our children and grandchildren."