Earlier this month the House passed a bill to extend relief for one year from the Alternative Minimum Tax (AMT) for upper-middle-income taxpayers. The bill would have paid for this extension in substantial part by closing a tax loophole that enables wealthy hedge fund managers to defer compensation tax free in offshore tax havens.Bush has recently been bashing Democrats with the usual tax and spend charge. Why don't the Democrats counter when they have the opportunity? This is the perfect example.
The Administration and many congressional Republicans argued that AMT relief should be extended but not paid for. Senate Minority Leader McConnell termed the idea of offsetting AMT relief “offensive.”
Thursday, December 20, 2007
From the Center on Budget and Policy Priorities.