# Alternate Minimum Tax - what am I missing?

**URL:** <https://boards.straightdope.com/t/alternate-minimum-tax-what-am-i-missing/357161>\
**Category:** Factual Questions\
**Created:** [May 17, 2006, 8:59pm UTC](https://boards.straightdope.com/t/alternate-minimum-tax-what-am-i-missing/357161 "2006-05-17T20:59:17Z")\
**Posts on this page:** 5\
**Page:** 1

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**Author:** ![BwanaBob](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/bwanabob/32/2985_2.png) [@BwanaBob](https://boards.straightdope.com/u/BwanaBob)\
**Post date:** [May 17, 2006, 8:59pm UTC](https://boards.straightdope.com/t/alternate-minimum-tax-what-am-i-missing/357161/1 "2006-05-17T20:59:17Z")

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Okay, so the damn thing was flawed because it wasn’t indexed for inflation.

So why don’t they enact legislation to change it, correcting the mistake? Seems like a no-brainer.

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**Author:** ![flurb](https://avatars.discourse-cdn.com/v4/letter/f/51bf81/32.png) [@flurb](https://boards.straightdope.com/u/flurb)\
**Post date:** [May 17, 2006, 9:03pm UTC](https://boards.straightdope.com/t/alternate-minimum-tax-what-am-i-missing/357161/2 "2006-05-17T21:03:54Z")

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> [@BwanaBob](#):
>
> Okay, so the damn thing was flawed because it wasn’t indexed for inflation.
> 
> So why don’t they enact legislation to change it, correcting the mistake? Seems like a no-brainer.

Because the AMT brings in a lot of revenue, and any attempt to correct it would have to be offset by raising taxes elsewhere, cutting spending or expanding the debt.

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**Author:** ![BwanaBob](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/bwanabob/32/2985_2.png) [@BwanaBob](https://boards.straightdope.com/u/BwanaBob)\
**Post date:** [May 17, 2006, 9:21pm UTC](https://boards.straightdope.com/t/alternate-minimum-tax-what-am-i-missing/357161/3 "2006-05-17T21:21:48Z")

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That’s too simple an answer. They got move revenue when the tax rates were higher; didn’t stop them from lowering the rates.

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**Author:** ![John\_Mace](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/john_mace/32/185_2.png) [@John\_Mace](https://boards.straightdope.com/u/John_Mace)\
**Post date:** [May 17, 2006, 9:43pm UTC](https://boards.straightdope.com/t/alternate-minimum-tax-what-am-i-missing/357161/4 "2006-05-17T21:43:12Z")

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That’s still the right answer, though.

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**Author:** ![D\_Odds](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/d_odds/32/2882_2.png) [@D\_Odds](https://boards.straightdope.com/u/D_Odds)\
**Post date:** [May 17, 2006, 9:56pm UTC](https://boards.straightdope.com/t/alternate-minimum-tax-what-am-i-missing/357161/5 "2006-05-17T21:56:47Z")

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Agree with **John** and **flurb**. It was easy to overlook, but as the number of taxpayers hit by the AMT continues to grow, so will the backlash. It’s nearing a critical point, as it is hitting many house-rich suburbanites.