WALLY HERGER: “Congress needs to keep the alternative minimum tax from reaching out and ensnaring an additional 19 million new…”

“Congress needs to keep the alternative minimum tax from reaching out and ensnaring an additional 19 million new taxpayers, saddling them with an additional $2,000 tax bill. I have long voted to limit the reach of the AMT. In my Northern California congressional district, 54,000 people will pay the AMT in 2007 if Congress fails to act. But today's bill is in the wrong direction. Tragically, this legislation institutes permanent tax increases to pay for extending temporary tax relief. The AMT was originally intended to reach 155 of our country's wealthiest Americans who were not paying taxes and compel them to pay at least some level of taxes, but that original intent never included dipping down into the middle class. The AMT now collects taxes it was never intended to collect. It would be absurd to 'pay for' extending this temporary fix for another year. Even worse, today's bill sends a clear signal to American families and individuals that the Democrats plan to allow the tax relief of the last 6 years disappear, raising taxes by trillions of dollars on millions of taxpayers. This includes marriage penalty relief, the higher child tax credit, and lower rates on investment income. The House should reject this Democrat pro-tax increase approach to patching the alternative minimum tax.”