PRINTER'S NO. 837
No. 137 Session of 2007
INTRODUCED BY DENLINGER, BAKER, BARRAR, BELFANTI, BOYD,
CALTAGIRONE, CAPPELLI, CLYMER, COX, CREIGHTON, CUTLER, DALLY,
FAIRCHILD, FRANKEL, GOODMAN, GRELL, HARRIS, HENNESSEY,
HERSHEY, HORNAMAN, JOSEPHS, LEVDANSKY, MAHONEY, MARSICO,
METCALFE, MUSTIO, O'NEILL, PEIFER, PHILLIPS, PICKETT, RAPP,
REICHLEY, ROHRER, RUBLEY, SCHRODER, SIPTROTH, SONNEY,
SWANGER, TURZAI, WALKO AND YOUNGBLOOD, MARCH 19, 2007
REFERRED TO COMMITTEE ON FINANCE, MARCH 19, 2007
A RESOLUTION
1 Urging the Congress of the United States to make significant
2 reforms to the Alternative Minimum Tax.
3 WHEREAS, In 1969 Congress developed a parallel tax, known as
4 the Alternative Minimum Tax (AMT), which expands the amount of
5 income that can be taxed, adds items that are tax-free under the
6 regular tax system and disallows many deductions; and
7 WHEREAS, The AMT provides an alternative set of rules for
8 calculating income tax, and these rules determine a minimum
9 amount of tax that a given person is required to pay; and
10 WHEREAS, The AMT's original intent was to prevent individuals
11 with very high incomes from using special tax benefits within
12 the tax system to pay little or no tax; and
13 WHEREAS, The AMT is not indexed for inflation, and AMT rates
14 have remained untouched; and
15 WHEREAS, While a series of tax cuts has reduced marginal
1 income tax rates, more taxpayers are subject to the AMT each
2 year; and
3 WHEREAS, This year more than 4 million taxpayers will be
4 subject to the AMT for their 2005 income, up from 3.5 million in
5 2004; and
6 WHEREAS, If Congress fails to reform the AMT, it is estimated
7 that 21.6 million people will be subject to the AMT on income
8 earned in 2006; and
9 WHEREAS, By 2010, roughly one in every three taxpayers will
10 be subject to the AMT; and
11 WHEREAS, Among those affected will be millions of middle
12 income and upper-middle income taxpayers; therefore be it
13 RESOLVED, That the House of Representatives of the
14 Commonwealth of Pennsylvania urge Congress to reform the Federal
15 tax law to address the problems surrounding the AMT to prevent
16 an unfair and nonuniform taxation system for those citizens who
17 are middle income taxpayers; and be it further
18 RESOLVED, That copies of this resolution be transmitted to
19 the presiding officers of each house of Congress and to each
20 member of Congress from Pennsylvania.
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