Democrat and Republican elected officials are both guilty of abusing the American Middle Class Taxpayers.
The majority of the members of the House and Senate both chose to follow the current administration's back door attempt to put more of the tax burden on the group of taxpayers who already cringe at the amount of federal income taxes taken from their paychecks each month. Now, the Middle Class Taxpayers have a penalty tax to pay for trying to live the American dream of owning your home and raising a family.
If you have not felt the sting of the Alternative Minimum Tax (AMT) yet, don't worry your turn is coming. You will feel the pain if you are a Middle Class Taxpayer making $75,000 or more each year. Sometimes you can be stuck paying this extra PENALTY tax even if you make less than $75,000. With the additional penalty tax due this year averaging an additional $2770.00 on top of what you already pay in federal taxes, get ready to tell your children no quite often this year as you try to pay the unexpected thousands of dollars in additional taxes. You may have to cancel or cut back on your vacation plans. Hope you like pork chops instead of steaks.
I did call it a penalty tax because you are penalized for being a homeowner (property taxes), having a large family (personal exemptions), having Long Term Capital Gains, or having to pay state and local taxes. Instead of theses items being allowed as personal deductions, these "Tax Preference Items" listed are some of the triggers that cause you to have to pay the additional PENALTY tax. I feel for the taxpayers who live in California, New York, New Jersey and Massachusetts. Their very high property taxes and very high state/local taxes will make them some of the hardest hit taxpayers in America under the Alternative Minimum Tax (AMT). Kiss your previous deductions goodbye.
You can thank the elected officials in charge all the way back to when the Alternative Minimum Tax was first enacted with no provisions made to take inflation into consideration. The tax act passed in 1969 to make the wealthiest pay their fair share of taxes is now being used to reach inside the pockets of millions of Middle Class Taxpayers to steal their hard earned money with a tax not intended for them in the first place. Elected Republicans and Democrats alike especially in the last twenty years have known the Alternative Minimum Tax (AMT) was not indexed for inflation. Each administration, Republican or Democrat alike, since 1969 to the
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