Get Back to Work, Slackers!

from THE ASSOCIATED PRESS December 2, 2007
IRS considers delaying start of tax season
WASHINGTON - The Internal Revenue Service is looking hard at whether to delay the start of tax-filing season if Congress, in the next two weeks, doesn't pass a law exempting millions of people from the Alternative Minimum Tax.
If there is a delay and it extends into mid-February, it would slow the return of 32 million refunds worth a total of about $87 billion, the IRS Oversight Board predicts.
The board, an independent advisory group, told lawmakers last week that it is "gravely concerned about the serious risks" to the filing season if Congress does not make timely changes to the tax. They include more mistakes by both taxpayers and the IRS and more people failing to pay taxes because of uncertainty about what they owe. The alternative minimum tax, passed in 1969, was aimed at very wealthy families. It was not adjusted for inflation. As a result, over the years it has hit a growing number of middle-income taxpayers. More than 4 million paid it in the 2006 tax year, and that number could soar to 25 million this year without congressional action.
Congress has approved one-year fixes to stop the tax from expanding. Legislation this year has stalled in a dispute between majority Democrats and the White House over whether to raise other taxes to make up for the drop in AMT revenue.
The tax season normally starts Jan. 14, but Deputy IRS Commissioner Richard Spires said the agency is considering not processing returns if the AMT issue is not resolved soon.
Some returns filed early might be affected by changes in the law and have to be amended. Congressional aides said there is no discussion of extending the April 15 deadline if the filing season is shortened.Some disruption already is taking place. As Congress was leaving for its Thanksgiving break with no deal in sight, the IRS was going to press with the forms for the 2007 tax year. Spires said the agency has postponed printing the AMT form.
Congress returns this week and expects to pass a bill this year. But it will take about seven weeks after a bill is passed and signed into law to get those forms to the public, Spires said.

from the Washington Post: The alternative minimum tax was passed in 1969 and was aimed at about 155 very wealthy families who used deductions to avoid paying any federal income tax. The AMT disallows certain deductions and credits. It was not adjusted for inflation; as a result, over the years it has hit a growing number of middle-income taxpayers.
More than 4 million were subject to it in the 2006 tax year, and that could soar to 25 million this year without congressional action.
Senate Democrats normally can count on a 51 to 49 majority, assuming independent Sen. Joseph I. Lieberman (Conn.) stays with his old party. With Sens. Hillary Rodham Clinton (D-N.Y.), Barack Obama (D-Ill.), Joseph R. Biden Jr. (D-Del.), Christopher J. Dodd (D-Conn.) and John McCain (R-Ariz.) campaigning furiously for party presidential nominations, Republicans can have an effective 48 to 47 majority, with an extra vote from Lieberman on most national security issues.
The House has passed a one-year, $50 billion AMT patch for tax year 2007 to keep the number of taxpayers impacted from jumping to 23 million, but the Senate has not yet acted.

Two things really bug me about the info in these articles. 1. Five representatives spending the last year+ campaigning instead of doing their job. The were each elected to represent their constituents in Congress, not travel the country making empty promises. It's as if they're going on a job interview with another company while on the clock at their current job. As far as I know, they are still being paid their full Congressional salary while being absent from the job much more than would be tolerated in the real world.
When Congressional representatives decide to make a serious, all-out campaign for a better job, they should have to step down for their elected position. It is clear they can't, or aren't going to, do both.
2. The AMT mess. According to the Washington Post, it was passed in 1969 to prevent 155 very wealthy families from completely escaping taxes. Fine. Not a bad idea. But times have changed. It has not been adjusted for inflation. For 38 years! This lack of adjustment has been a hot issue for at least the last 10 years. And Congress still has done nothing about it! Sure they might pass a one-year temporary fix, but if they can do that year after year, why the heck can't they get together and straighten it out altogether. Oh, maybe its because they're "on recess" most of the year. I'm sure they're working on issues when they go home, and campaigning to be re-elected to finish the job they didn't do the year before. How long do you get to delay a project or adressing a problem in your job before it hits the fan? 10 years? Do you take numerous vacations while assignments are piling up on your desk?
Part of the problem is that the Democrats in Congress have instituted a "pay-go" system. Any tax cuts have to be "paid for" with spending cuts. So new tax breaks can't take away from the bottom line. Nice idea, except when it prevents real work from getting done.
This is all the Republicans fault. And its all the Democrats fault. If politicians would just spend as much time working as they do trying to place blame, they might actually get something done!

Right, and then because of all of this it could be more confusing to file your taxes next year. Tax forms can't be printed until we know what the law is. Can't file until you have the forms. If the forms are sent late, processing will be late, your refunds will be late. All because the guys we elect and pay to see to these sorts of things haven't done their jobs.