Under the American Jobs Creation Act of 2004, Washington also allowed
taxpayers to eliminate up to 100% of their alternative minimum tax
liability by using credits for any foreign taxes paid. Before tax year
2005, those credits could only eliminate 90% of federal income taxes.
High-income earners — guided by accountants and tax advisers — reacted
swiftly to the change, which remains in effect. In 2004, IRS data show
they reported $16.6 million in foreign tax credits. The following year,
the total credits claimed soared to $447.3 million.
Me, this is an article about people earning over $200,000 not paying ANY tax.
Key words here: American Jobs Creation Act of 2004 (jobs?)…. Allowed taxpayers to eliminate 100% minimum tax liability…. For taxes paid in any foreign country… In one year the figure (economic drain) went from $16.6 million to $447.3 million.
They probably all had their flag lapel pins on when they voted this one in.. The war on America from within.