Alternative Minimum Tax Relief Act of 2008

ALTERNATIVE MINIMUM TAX RELIEF ACT OF 2008 -- (House of Representatives - June 25, 2008)

BREAK IN TRANSCRIPT

Mrs. JONES of Ohio. Mr. Speaker, I rise today in support of H.R. 6275, the Alternative Minimum Tax Relief Act of 2008. I am pleased to see that once again you have presented a responsible solution to the alternative minimum tax from a broad, policy-oriented perspective.

The alternative minimum tax is a critical issue for the American middle class taxpayer who does not get to take advantage of sophisticated tax planning and legal loopholes in the tax code. It is time that we addressed this issue once and for all to relieve the American taxpayer from the agony of dealing with the AMT. A permanent patch is what we really need, but today we have to plug the dike once again.

If you'll recall, in 1969 the public outcry was so loud about the original 155 families who owed no Federal income taxes that Congress received more letters from constituents about that than about the Vietnam war.

It is particularly ironic that a tax that was meant for 155 wealthy individuals has become the bane of existence for millions of American taxpayers. Indeed the AMT has become a menace. Over 31,000 hardworking, middle-class Ohioans in my district had the grim task of filing a return with AMT implications in the 2005 tax year.

Without this legislation that number would surely grow. Those are families with children, healthcare costs, unemployment issues, housing costs and the other money matters with which American taxpayers must cope, not to mention higher gas prices. Tax relief is due.

As I mentioned after the introduction of H.R. 2834, the carried interest legislation sponsored by my colleague, SANDER LEVIN, we must continue to laud the efforts of American capitalists and the strides that they make in enhancing and creating liquidity in our capital markets, and helping our economy grow into the dynamic force that it is today. I am also aware of the critical role that private equity firms play in our economy. We must be aware that this change in taxation can have a deleterious effect on some small venture capital and minority-owned firms. The color of money is green, but if you are smaller than Blackstone or Carlyle, your firm might be seeing red. But we must also have responsible budget offsets.

The tenets of sound tax policy begin with the notions of equity, efficiency and simplicity. Relying on that traditional framework I am sure that we have come to a rational consensus that will ensure 25 million more Americans will not be hit with the AMT.

``Taxes are what we pay to live in civilized society,'' but dealing with the AMT has become a bit uncivil.

BREAK IN TRANSCRIPT

Source