Congress is kicking around AMT relief. Any respite from the dreaded alternative minimum tax (AMT) continues as a political football. The latest development: The Democrats are formulating a plan that would exempt taxpayers with income under a specified threshold. But the lost revenue could be offset by increases in the regular income tax rates for upper income taxpayers. Most Republicans in Congress likely would object to this trade-off.
Bottom line: Congress continues its sharp division on the means, but at least the ground-swell for significant AMT relief is growing. Stay tuned for more news.
Thousands of employers have been snared in the IRS's all-out initiative to increase employment-tax audits—its first such initiative in 25 years. A main target: the tax treatment and reporting of employee fringe benefits....Click here to find out more.