Washington, D.C. -— U.S. Rep. Bob Etheridge (D-Lillington), a member of the House Budget Committee, voted today for legislation that provides $50 billion in middle-class tax relief for 25 million families.
The AMT Relief Act of 2008 will save 33,083 families in the Second Congressional District from paying higher taxes under the Alternative Minimum Tax.
“At a time of economic uncertainty and rising gas and food prices, this legislation will provide tax relief for thousands of North Carolina families who otherwise would see their tax rate rise dramatically due to the Alternative Minimum Tax,” said Etheridge.
The Alternative Minimum Tax was originally designed to ensure very wealthy individuals do not avoid paying income tax. The tax now threatens to impact middle-class families and raise taxes on 25 million Americans if Congress fails to take action.
The legislation is fiscally responsible and does not require borrowing money or adding to the deficit. To pay for middle-class tax relief the bill closes tax loopholes that allow multi-millionaires on Wall Street to pay a lower tax rate on their income than other working Americans, such as teachers and firefighters, cracks down on tax cheats and ends massive government subsidies for oil companies earning record profits.