(Washington, DC) Today Congressman John Yarmuth (KY-3) voted for legislation that offers more than $50 billion in middle-class tax relief and saves 43,438 Louisville households from paying higher taxes under the Alternative Minimum Tax. The Temporary Tax Relief Act.  The fiscally responsible legislation is fully paid for and was approved by a vote of 216-193.

“With the cost of health care, gasoline, and education skyrocketing, I remain committed to easing the burden on Louisville working families,” Congressman Yarmuth said. “I’m proud to support this legislation that closes an unintended loophole that would have overtaxed 43,000 Louisville households.”

The Alternative Minimum Tax was originally designed to ensure very wealthy individuals do not avoid paying income tax. The tax now threatens to impact middle-class families and raise taxes on 23 million Americans if Congress fails to take action.

The Temporary Tax Relief Act of 2007 protects 23 million middle-class families from being hit by the Alternative Minimum Tax and includes a series of other provisions that provide tax relief to working families. The bill:

• Provides 30 million homeowners with property tax relief
• Helps 12 million children by expanding the child tax credit
• Benefits 11 million families  through the State and local sales tax deduction
• Helps 4.5 million families better afford college with the tuition deduction
• Saves 3.4 million teachers money with a deduction for classroom expenses
• Provides thousands of American troops in combat with tax relief under the Earned Income Tax Credit.

The Temporary Tax Relief is fully paid for and will not add to the deficit and will grow our sagging economy with tax relief to promote innovation and high-paying jobs.

The legislation also restores fairness to the tax code and closes wasteful tax loopholes. The Temporary Tax Relief Act closes tax loopholes that allow the privileged few on Wall Street to pay a lower tax rate on their income than other hardworking Americans, such as teachers and firefighters. Additionally, the bill prevents Wall Street hedge fund managers and corporate CEOs from escaping income taxes by using offshore tax havens as unlimited retirement accounts, while middle-class families play by the rules and pay their fair share of taxes.