The Alternative Minimum Tax - Red vs. Blue

Ken O’Brien

NEWS UPDATES Dec. 7 -
Tax filing delay looms if no fix for minimum tax: IRS
IRS Chief Warns Again About AMT Hit

If you aren't familiar with the alternative minimum tax - commonly known by its initials, AMT – you might want to get acquainted with it. Congress created the AMT back in 1969 to make sure that certain high-income citizens couldn't skip out on paying taxes altogether by gaming the system. So under the present regime, you pay either your regular taxes or the AMT (which is essentially a flat rate that eliminates most deductions), whichever is higher. A definite hassle (because you have to calculate your taxes twice), but at least it sounds fair, right? 

A Trillion Dollar Coin?

Ken O’Brien

As we wind our way toward the fiscal cliff, Republicans are scrambling for a way out of the conundrum they face of not wanting to raise tax rates at all or being confronted with being blamed for raising taxes on all Americans when the Bush tax cuts expire at the end of the month.

Coupled with that, of course, are the draconian cuts to social programs and the defense budget that would take effect because of the sequestration agreement reached as a result of the 2011 fight over the debt ceiling. 

Mr. Burns Explains The Fiscal Cliff

Sunday Photo-'Toons 1.33

Ken O'Brien