Rangel Tax Hike Fact of the Day #13
Every day, Americans for Tax Reform will release a new fact about Charlie Rangel’s trillion-dollar tax hike. All prior facts of the day can be found on www.atr.org.
Today’s fact is
“Rangel Tax Hike Says ‘Bah, Humbug’ to Charitable Contributions”
The Rangel tax hike plan claims to reduce the burden of taxation for middle income families paying the AMT. It does nothing of the kind.
The Rangel tax hike is a bait-and-switch on these families. By imposing a surtax of up to 4.6% on as little as $150,000 of income (not taxable income), the Rangel tax hike steals away much of the deduction for charitable contributions.
Not even the pernicious AMT takes away the charitable deduction. Yet, Rangel’s surtax—supposedly to replace the AMT—does just that. Taxpayers are asking whether Rangel’s cure is worse than the disease.