The Fine Print: Senate Tax Bill Isn't All That It Seems
New York Times Online (05/15/01) Vol. 4, No. 2 p.A46; Rosenbaum, David E.

Critics of the Senate tax bill say the legislation is loaded with discrepancies that provide limited relief to taxpayers in the long run. One provision of the tax bill being scrutinized is the estate tax, which the legislation proposes to repeal by 2011. Opponents note that those taxpayers with estates large enough to owe taxes before the repeal date will owe more after the repeal. Another anomaly addresses how the bill proposes to raise the amount of income exempt from the alternative minimum tax. Under the legislation, the increased exemption would only be in effect from 2002 to 2006, a fact that strikes many as curious because ostensibly, the purpose of the provision is to prevent millions of taxpayers from having to pay the alternative tax. In addition, the legislation proposes to lower taxes for almost all married couples by raising the standard deduction on joint returns and expanding the amount of income taxed by 15 percent.


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