Alternative Minimum Tax

[iron81]

Wall Street Journal

The House Ways & Means Committee passed a $75 billion tax hike on hedge fund managers and other super rich individuals as part of a plan to eliminate the Alternative Minimum Tax (AMT). The AMT, originally targeted at wealthy individuals who through tax breaks pay little income tax, increasingly affects the middle class because of inflation.

Personally, I think Congress should keep the AMT, increase it and index it to inflation. The idea that wealthy individuals could game the system to the point that they aren't paying much tax seems wrong to me. It seems simpler to fix the AMT, particularly because it's irrational to target hedge fund managers.

[maxtower]

They shouldn't pass any money related law that isn't indexed to inflation.

[Ron Burgundy]

The only foolproof way to prevent tax evasion or inequality is to implement a flat tax... a flat 0%.

[4 High]

[ QUOTE ]

Personally, I think Congress should keep the AMT, increase it and index it to inflation. The idea that wealthy individuals could game the system to the point that they aren't paying much tax seems wrong to me. It seems simpler to fix the AMT, particularly because it's irrational to target hedge fund managers.

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Agreed.

[One Outer]

So then how much are the top 5% paying if they're mostly using the AMT? There has to be some way to make sure these people are paying a lot more without leaving any wiggle room.

[NeBlis]

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There has to be some way to make sure we are paying a lot less without leaving the government any wiggle room.



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FYP

[bobman0330]

I think a better solution is probably to get rid of the ordinary tax system and just leave AMT.

[adios]

[ QUOTE ]
Personally, I think Congress should keep the AMT, increase it and index it to inflation. The idea that wealthy individuals could game the system to the point that they aren't paying much tax seems wrong to me. It seems simpler to fix the AMT, particularly because it's irrational to target hedge fund managers.

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I remind readers of this forum that you believe people making $80,000 plus a year are wealthy.

[XXXNoahXXX]

I'm not sure if this is the same thing, but one of the plans involved a 4% surtax on individuals making over $150k per year.

Sure, that may sound like a ton of money, but have fun being a first year associate at a law firm in NYC, making $160k, but having $150-200k in loans.

I know plenty of people making $160k+ at law firms and most of them live in studios and 1br in brooklyn, and have little left after paying down their loans.

[AlexM]

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[ QUOTE ]
Personally, I think Congress should keep the AMT, increase it and index it to inflation. The idea that wealthy individuals could game the system to the point that they aren't paying much tax seems wrong to me. It seems simpler to fix the AMT, particularly because it's irrational to target hedge fund managers.

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I remind readers of this forum that you believe people making $80,000 plus a year are wealthy.

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IMO people making $30,000 a year are wealthy. [img]/images/graemlins/smile.gif[/img]