|
WASHINGTON, D.C.—Congressman Allen Boyd (D-North Florida), a leader of the Blue Dog Coalition, today supported legislation to provide immediate, fiscally responsible tax relief for middle income families across America. The Temporary Tax Relief Act of 2007 (HR 3996) would prevent more than 23 million families—including 31,000 North Floridians—from a tax increase under the alternative minimum tax (AMT). The legislation also extends popular tax credits and deductions that expire at the end of the year. HR 3996, which is fully paid for, passed in the House of Representatives by a vote of 216 to 193.
“I am proud to support this fiscally responsible and fair tax relief package, which will put money back in the pockets of thousands of North Florida’s families,” Congressman Boyd said. “This legislation is a strong testament to the fact that we can provide sensible tax relief without having our children and grandchildren foot the bill. We must remember that tax relief that is not paid for today is a tax increase on our children tomorrow. I am pleased that this Congress is preventing millions of middle income families from being unfairly penalized by the AMT while also adhering to the proven-successful pay-as-you-go rules.”
The AMT was created in 1969 to target 155 high income households that had been eligible for so many tax benefits that they owed little or no income tax under the tax code at the time. In recent years, the AMT has been under increased attention because it is not indexed for inflation, resulting in a growing number of middle income taxpayers subject to this tax who were never its intended targets. Each year, the AMT hits more and more middle class families unless it is changed by Congress.
In 2005, 3,092 households in North Florida paid the AMT. Without this legislation, this number would increase by 1,003 percent and affect 34,092 North Florida households in 2007.
“The IRS calls the AMT the ‘Number 1 most serious problem’ facing taxpayers, and they are right,” Boyd stated. “While I applaud this Congress for extending AMT relief in a fiscally responsible way, we must work towards developing a permanent solution, instead of continuing to enact temporary fixes. The American people are looking to Congress to lead on this issue, and I encourage all of my colleagues to join the Blue Dogs in pushing for a permanent, long term solution to the AMT challenge.”
The Temporary Tax Relief Act of 2007 also:
- Provides 30 million homeowners with property tax relief
- Helps 12 million children by expanding the child tax credit
- Benefits 11 million families through the state and local sales tax deduction
- Helps 4.5 million families better afford college with the tuition deduction
- Provides thousands of American troops in combat with tax relief under the Earned Income Tax Credit
-30-
|
|
Back to top