The House passed a bill promising relief for another year from the spread of the alternative minimum tax, but the bill already faces opposition from the White House.

The bill passed by a vote of 233-189. The legislation, sponsored by House Ways and Means Chairman Charles B. Rangel, D-NY, would provide tax relief to middle-class families by ensuring that the number of taxpayers subject to the AMT will not increase from approximately 4 million to an estimated 25 to 30 million. “The AMT is an outdated, unfair tax that should not even be part of our tax code,” said Rangel in a statement. “However, in the seven years the Bush Administration has been in office, they have not given us a tax reform bill to do what everyone in this House would want to and remove this fiscal burden from more than 25 million taxpayers.  So now we have to pass a so-called ‘patch’ to make sure these families don’t see their taxes increase through no fault of their own.” The White House objected to the bill’s offsets for raising taxes and revenues in other areas to compensate for the loss in AMT revenue. "The administration urges Congress to reduce the risk of disruption to the 2009 tax-filing season by eliminating tax increases from the bill," said a statement from the White House.

Register or login for access to this item and much more

All Accounting Today content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access