<p>So what is the deal with the alternative minimum tax? Just asked our CPA, and he says that we could possibly get for as much as another $1,000. Man, everything is a stretch already. They have got to be kidding, but they are not! Ouch! </p>
<p>I asked what credit or deductions we get for that hefty college tuition, and CPA does not know, but claims it won’t be less than last year. Well, I guess I will just need to celebrate that one, by writing a check for another $1,000 for the AMT! This whole thing just stinks. So, the ATM was supposed to get money out of the richest, and it may hit our household, and according to our CPA another 25 million other taxpayers. I wonder how rich the other 25 million are, because this one is getting poorer by the day! This is another “gottcha” for the middle class!</p>
<p>It hits our household and has for a couple of years. I can’t imagine how a garbageman and an administrator are rich. Someone needs to drive a stake through the thing.</p>
<p>The AMT was originally meant to get the top 150 families to pay taxes. Now we are talking about 25 million people paying AMT. We’ve come a LONG way…</p>
<p>Aah, the college tax credit/deduction…we’ve only been able to use it one year, and then only half of the deduction. We often just miss some cutoff or other. We should have had a tax planner…which is what the rich can afford to help them work around their taxes.</p>
<p>We got so little from the college tuition deduction/credit, that the we will be several hundred behind last year with the possible increase in our ATM. Why is it more this year, if it should have effected us last year? Our CPA just mentioned it to me today. I pushed as to whether this is going to get get us for hundreds or thousands, and I got the $1000 news (this is just a guess on his part at this time). That is just great. I feel like we cannot breath anymore with all these bills.</p>
<p>I think I read somewhere that there was a proposed adjustment or fix to the AMT in the works but that it would not be in effect when some of the earliest filers filed their returns. If it does go through, they could certainly amend their returns later, although that would be much more bother than if the fix were in place early on.</p>
<p>nceph, thanks. I tried to read this article twice, but my computer is freezing, and an ad blocks it when I try to access it. Do you know an adjustment to the AMT is in just proposed or if it has been approved? Does anyone know the status on this? Thanks.</p>
<p>Thanks. It will be annoying if the middle class gets hit for yet another tax that was really directed at for the wealthiest families in the U.S.</p>
<p>Zoos, well, this doctor/teacher and college counselor/instructor never hit the AMT, so the garbageman and administrator must be doing something right!:)</p>
<p>Seriously, I do agree it’s not doing what it’s supposed to, and needs a fix.</p>
<p>"Zoos, well, this doctor/teacher and college counselor/instructor never hit the AMT, so the garbageman and administrator must be doing something right!</p>
<p>Seriously, I do agree it’s not doing what it’s supposed to, and needs a fix."</p>
<p>Working a lot of hours to be able to afford to live in NYC.</p>
<p>I was able to access this article if anyone is interested. I am just very curious as to how this will effect our bottom line. This seems to be the first year that we could be effected.</p>
<p>“We should have had a tax planner…which is what the rich can afford to help them work around their taxes.”</p>
<p>We have a tax planner and have still been hit with increasing AMT for the last few years. Him told to expect another increase for '07. Maybe we need a new planner…</p>
<p>EK thanks. Apparently the 4 million filers effected could grow to 25 million filers this year. EK my CPA did tell me that they might delay the start of the filing season to 1/14. I asked him if that would change the date that one could first file the fafsa. He felt that the fafsa could be filled out on 1/1 because one would be using estimated numbers anyway, and corrections would be made later. That was just his opinion.</p>
<p>The AMT hits people with high state, local, and property taxes, and people with children, because at a certain income level these deductions begin to be lost. The income levels have not been adjusted for years, and so more and more people are affected each year. We get slammed by it.</p>
<p>Remember this the next time you’re thinking of supporting a candidate whose platform is to impose new ‘taxes the wealthy’ to support more social and giveaway (vote buying) programs.</p>
<p>^ Which is why there is still a glimmer of hope. If 25 million filers are going to have to pay more money (according the articles an outrageous $2000 more on average) perhaps significant votes can be lost too. When middle class filers are told that they need to pay that much more, they will really feel it.</p>
<p>another example of ‘unintended consequences…’ The AMT has been around since the 70’s (I think), but it was never indexed for inflation. </p>
<p>The economics are such that the AMT hits those on both coasts (Blue States) more than those in ACT country, due to higher property values and taxes, mortgage deductions and state income taxes.</p>