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View Diary: Public ready to blame Republicans if fiscal cliff talks fail (132 comments)

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  •  You are looking at the wrong TPC study (1+ / 0-)
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    VClib

    The one involving the fiscal cliff, that prompted the news reports last month, is here.

    From the study:

    Upper middle-income households would be particularly affected by the expiration of the
    AMT patch.
    Finally,  the AMT “patch” that protects tens of millions of taxpayers from additional taxes expired at the end of 2011. Unless Congress extends the patch retroactively,
    many taxpayers will owe AMT on their 2012 tax returns (the tax returns that people will file in early 2013).                                                
    Temporary Increase in AMT Exemption. The AMT operates parallel to the regular tax and sets a
    floor on total tax liability. Taxpayers whose income exceeds the AMT exemption must calculate
    both regular tax and AMT liabilities and pay the larger amount. 6  EGTRRA temporarily increased
    the AMT exemption to preclude the alternative levy’s reducing the impact of other tax cuts in the
    legislation. Since then, Congress has repeatedly “patched” the AMT by setting higher exemptions but only for a year or two at a time. The most recent patch, enacted in 2010, covered  tax years 2010 and 2011 and raised the 2011 exemption from $45,000 to $74,450 for couples and  from $33,750 to $48,450 for others. If Congress does not enact another patch and extend it
    retroactively to the current year, the AMT will hit tens of millions more taxpayers, boosting their
    2012 tax liability substantially.
    And there are charts showing the additional liabilities for various kinds of taxes at different levels.
    •  Thanks for the link (0+ / 0-)

      Apologies again for being rude.  

      From your link, Table 6 shows the change in average tax liability by quintile.  For the top 20% quintile, which starts at 88k for married filing jointly, the average AMT change is only 1,265.  So I am still inclined to believe the 3700 number is based on misreporting from the Tax Policy Center.

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