what if I need a copy of my 2006 federal income taxes and I dont have one? Need one for college and e filed and now i dont have one... how can i get a copy?

2006 Federal income tax question? I am using Turbo Tax to prepare my 2006 taxes. I paid in about $300 in Federal income tax. I had a baby last year as well. After I was done preparing my taxes, it said I was getting a refund of $1600! Is this possible? And is it because of the Child Credit? I only made about $10,000 last year, so I qualified for the EIC. I have amounts listed under the EIC and Child tax credit.

i need to file 2006 federal income tax how can i find returned to file? i never file my2006 federal income tax return i need to file this year.

Can a 2006 federal income tax return be amended from head of household status to married filing jointly? my spouse and I were separated and she filed as head of household while I didn't file at all. I know that this was incorrectly done and I need to know if it can be fixed.

where would i have sent my 2006 federal income tax return living in kansas?

Is there a way to view my 2006 federal income tax return online?

2006 Federal Income Tax, Military and Student? I am in the military on active duty, but I was also a full-time student for all of 2006. When filing my taxes online, I can still check the box stating I was a full-time student (even though I also held a full-time job), right?

2006 federal income tax questions? Should the 2006 federal withholding charts pretty much match the actual taxes due on the taxable amount, assuming there are no special situations, such as long term/short term capital gains?

What website can I go to to download the 2006 federal tax income form 1098?

2006 federal income tax - Education Deductions? I started my master's degree program in Apr 2006. I am paying for all books and tuition out of my own pocket. Can I take a deduction for the amount that I spent in 2006?

Are sales taxes deductible on the 2006 Federal tax return in lieu of State income taxes?

federal income tax deductions? I paid some property taxes due on April 2006, in November 2005. I did claim the payment as part of my 2005 tax return, can I claim the property tax payment as a 2006 deduction or do I have to ammend my 2005 tax returns?

Would someone describe what to do with Form 5498 for Federal Income Tax Purposes? I received a 5498 in May/June 2006. Form lists account value in 2005. No contributions, conversions, etc. Do I declare this or does it affect my 2006 Federal Income Tax Return in any way? Thank You.

The value of the expression 4220+0.25(x-30,650) is the 2006 federal income tax for a single taxpayer with...? taxable income of x dollars, where x is over $30,650 but not over $74,200. Simplify the expression. Find the amount of tax for a single taxpayer with taxable income of $40,000 Who pays more a married couple w/ joint taxable income of $80,000 or two single taxpayers with taxable incomes of $40,000 each? Married filing jointly=8440+0.25(x-61,300)

I need information for 2006 income taxes.? I can't find my federal income tax papers and I have to file my property taxes. How do I find the $$ for 2 dependents?

Do we have to pay two separate income taxes to both the Federal & Provincial in Canada or is it inclusive? The federal basic personal amount of earning before taxes for 2006 is 8839 and each of the provinces have there own amounts, usually slightly lower then this. What is the maximum we can earn living in the Province of Quebec ? Ontario for example is 8,377 for 2006 . Essentially, with no other factors, deductions, income, exemptions, you can earn this much income and not pay any FEDERAL tax in Canada, but what about Provincial tax, is that different ?

How to file federal taxes with no income? I need a transcript of my 2006 tax return for an immigration form but I had no income for 2006. Would I file a 1040 and list everything as zero or is there some special form for this? I'm in China, I've been living off of savings. It's not for me it's for wife's immigration petition. We need to jump through rings of fire to prove we're not terrorists or running a scam so they need transcripts of my tax returns for the last 3 years.

If i still oew $$$ to the IRS from 2006 ( I am on payment plan) will they deduct that from the rebate check? I owed the IRS $$$ from my 2006 federal income tax return and am currently on a payment plan. The $$$ I was supposed to get back from them this year (2007 tax return) , they just used as payment for 2006 taxes I still owed. I still owe a few hundred though. Will they also take that from this rebate check everyone is supposed to be getting or my state tax return????

Should I amend my FEDERAL return to report the local income tax refund of $22.00? My wife and I filed our 2006 Federal income tax returns two months ago. We recently filed our local income tax returns and got a unexpected $22.00 return that we had not reported on our Federal return. The local authority issued us a 1099-G that stated this income is being reported to the IRS for tax year 2006 (not 2007). Should we go through the hassle of amending our 2006 returns for this small amount, or should we wait to see if the IRS sends us correspondence asking us to pay the tax on the $22.00? Thanks, Folks - the $22 says for tax year 2006. This is all for 2006, not 2005 or 2007. We itemized our Federal returns and got back about $3,200.

1040E federal income tax form 2006 mailing addess?

Where do I pick up 2006 Federal and State Income Tax Forms?

I earned $994 in 2006, and no federal income tax was taken out. Should I file?

Can I file 2006 federal and CA state taxes online then file 2007 online? My friend didn't file his 2006 income taxes. I wanted to file his 2007 online through the IRS links to H&R block but I need to file his 2006 first. Should I just have him mail the paper forms for both years? **Thanks for the response. I couldn't find any info on the IRS site about prior year efiling. So I'll just get the 2006 forms from the IRS and FTB sites and mail both years.

22,672 is my 2006 income. Make 2.13 to cover federal and state taxes. Why must I pay in over 3200? I'm a waitress in SC but live in NC. I made 22672 as income. get paid 2.13 an hour which I thought covered the majority of my federal and state taxes. I am also a full time student who receives no state or federal assistance and I'm 20 years old with no children or anything. I was told I made to much money to be claimed by my mother or boyfriend, what's the deal? Should I go to naother tax agency or should I just try to pay the money?

Are state income taxes paid in 2008 for tax years 2006 and before deductible on my 2008 return and will I save? will this reduce my federal taxes due for 2008? Im using Turbo Tax and when I enter additional state taxes I owed for 2001 - 2006, it doesnt reduce the amount I owe in federal taxes for 2008. Is there some sort of time limit or dollar limit?

How does the underpayment of IRS federal income tax work? Say for instance that my 2006 taxes are fully paid. Yet for 2007 after I file for my return next year in april that it turns out I underpaid by 2000 dollars. Will I owe the IRS a penalty for this? Second senario. Say that for 2006 my taxes are fully paid. But for 2007 I am also getting a tax return of around 100 dollars because of all my deductions such as charity, real estate tax and interest etc. Even though I technically underpaid the IRS before the deductions, after the deductions are accounted for I still have a return. Will I owe any penalty for underpaying before the deductions are accounted for? Please let me know what my consequences are for both senarios. I want to clarify Senario 1. I mean that if I am fully paid for tax year 2006 but when I am filing for 2007 it shows I underpaid for 2007 not 2006. Again 2006 is fully paid. I'm just speaking of 2007 is underpaid. I heard if you are fully paid for the prevoius year then it doesn't matter if you underpaid for the current year when you file.

how do I get my 2005 federal income tax adjusted gross income? I can't file my 2006 taxes electronically without a password or my exact AGI, and I don't have last year's tax return. Any help is appreciated.

I saved all my sales receipts for 2006, can I use the tax for state or federal income tax filing.? Who do I turn all the sales receipts I saved last year to use for income tax filings

Please help! My school needs a copy of my 2006 Tax Form for financial aid. I lost it or cant find it.? This is what the description of what they want is: The verification worksheet for dependent student is incomplete because we require a signed copy of the student's 2006 federal income tax form with all statements, schedules, attachments and W - 2 forms which you did not previously submit. If you are not required to file a 2006 federal income tax form, you must submit verification that you are not required to file. To request a copy of a tax return, call 1 800-TAX-Form (800-829-3676) to request Form 4808 or print Form 4808 from the IRS website at www.irs.gov. Return the IRS verification to the Financial Aid and Scholarship Office. Can I just call that number and request the transcript and that covers it all? My dad did it on turbo tax. Can he just print out another copy? Please help. i actually cant find the w-2 also. should i ask my employer for it? I work at michaels. do i ask them or i have to call the company?

Dependent earned less than 3,300 in 2006 and filed own taxes can I still claim ? Hi! My brother has lived with me for 2006. He is 17. He worked but earned less than $3,300 in 2006. He filed his own federal income tax return. Can I still claim him being I supported him more than half the time? I read something about a section where you enter in the amount dependents made during 2006. Any information would be helpful, Thanks!

What form do I have to use for paying taxes in 2006.? I am married,but file seperately. I have only one income source which is from w2 $7791 and I collected unemployment for nearly 3 month that amount was $2574. Both deducted federal income tax which was amounted to$702.If so What is my tax liablility for 2006.

i had no income in2006 & 2007 how do i file for 2006 federal tax i already filed for 2007? i am disabled and am now receiving disablity income as of this year

Federal income tax telephone excise tax question for 006? I am filing an amended return where I am combining two single returns into a married fling jointl. Both of them have $30 telephone tax credits. They have one child. What should bethe correct amount of telephone excise tax in line 15 of the 1040x for 2006? please also list any sources from where you found your information... Thank you!

I have an Federal Income Tax question? I am doing my homework and I have one questions that I am stuck on. The question is: If a person's 2006 taxable income is $40,000 ---- he/she pays $6565 in Federal income tax. BUT if the taxable income increases to $41,000 ---- he/she pays $6814 in Federal tax. What is the "marginal" tax bracket? Can ANYONE help?!

i had a sole prop from 2002-2006 closed 12-06 no income 07 how do i report that on federal income tax return?

Federal Income Tax question - is this possible? Our daughter was born in May '06. We had trouble with a spelling error on the vital record, with the result that we still haven't gotten her an SSN. (It's my understanding that we absolutely CANNOT claim her without a number. Is this technically true!?) Anyways, my question is this: If we file now without her, can we modify our filing later on, after she has been given a number? Like, if we apply and get her a number next month, is there a form we can submit changing our 2006 taxes after filing, so that we can still get the deduction?

I asked a question about deducting federal taxes for 2002 & 2003 paid in 2006 & was told that you cannot.? Then I found this. Can someone tell me what this refers too? See number 3. The website is http://www.ador.state.al.us/incometax/1webreghold/810-03-015-20.htm Thanks 810-3-15-.20 Federal Income Tax Deduction - Individuals. (1) DEFINITIONS. For the purpose of this regulation, the following words, phrases and abbreviations have these meanings: (a) FIT: Federal income tax. Deductible federal income tax includes: 1. Federal income tax withheld by employers during the taxable year. 2. Excess social security or Medicare tax (FICA) and railroad retirement tax (RRTA) withheld during the taxable year… 3. All federal income tax payments made during the year for liabilities of prior years, including the previous year's payment made when the previous year return was filed. 4. All federal income tax estimate payments made during the year…. 5. Earned income credit of the previous year which was applied to the previous year's federal income tax liability. 6. Alternative Minimum Tax.

May have forgot to claim 2006 refund as income on 2007 income taxes.? I think I forgot to add in the income from my 2006 refund to my 2007 income(for both State and Federal). How can I be sure? If I did make a mistake how do I fix it and how much in penalties would I have to pay...my refund was for about 800 dollars, I don't recall exactly. I used the EZ forms for both years taking the standard deduction.

Getting a refund with no Federal Taxes withheld? So I had a baby in 2005 and for my income taxes in 2006, I received over $3000...for having a baby. I'm a single mom and I have 5 Federal Exemptions. I make too little to have any federal taxes withheld. Would I still receive money back for having my daughter? I get no support from anywhere else, if that matters...her dad is not involved at all. I was just curious for any of you accountants out there. It wouldn't really matter either way, but it'd be nice to add to her savings. There are a few reasons I haven't taken him for child support. Number 1, he worked (I don't know if he still does) as a cook for a restaurant making $7.50/hour. He was already taken to court by his ex for child support and it was granted. So obviously he'll have to pay some of his wages to her which doesn't leave him with much...so I'd get MAYBE enough to cover PART of the diapers and that's it. It's not worth it and here's why. He's got a warrant out for his arrest already...and no one can find him (including me). When we were together, I found out he was buying and selling drugs...as well as doing them. He was also cheating on me with 2 girls. When I found that out (all at the same time from him) I left him, but said he could come with me to the doctor's visits b/c I had just found out I was pregnant. He refused...literally. And then, disappeared. I don't want my daughter growing up with a druggie father...that's why it's not worth it. I care for her safety. :)

what are "federal income taxes witheld"? i am a waitress at a famous hotel/resturant on miami beach! recently, i had a preparer just look over my W-@ and she told me that my "federal income tax" was too low compared my wages for 2006. should i get a second opinion?

Do I have to claim my federal tax refund from 2006 on my 2007 tax return as income?

Question about 2006 1040X? I am doing my tax resturn for 2007. I can not find the amount for the next two questions: -Amount of 2006 adjusted gross income. -Amount of 2006 Federal Income Tax. Can someone PLEASE tell me where I can find that on my 2006 tax. The site says that I should look at line 4 and 11 but i have a 1040X.

2006 income tax questions? what is the standard deduction when filing head of household on federal tax return

How can i end up paying less federal income tax? Hello folk Me and my wife are about to make around $75000 this year(Apr 2006-March 2007).I just wanted to know is there any way we can save federal tax we have to pay on it.I mean where should i invest money. We dont have any dependent. We dont own house.I wont like to buy house at this stage cause i am not sure this incom will be go on for next year... Please suggest me from your experience. Thanks in Advance

Can I declare deferred mortgage interest as a deduction? I am wondering if I can declare deferred mortgage interest on my 2006 federal income taxes. If so what section do I put it in? Do I just add the interest and the deferred interest together and enter it into the mortgage interest deductions section? But I did pay the deferred interest, it was added to the principal of my load so technically I've paid it. I think I am going to go to H&R Block this year.

How would proceeds from real estate, reported on 1099S, be reported on Federal Income Tax Return? My sister and I aquired a liability in the form of a Deed of Trust in May 2005 from a parent in ill health. In Dec. 2005, we started forclosure proceedings. Early 2006, a Quit Claim Deed (In Lieu of Foreclosure) was conveyed to myself and my sister, making us full owners. We sold property under market because of deteriorating physical condition. We split proceeds. How should these proceeds be reported on Federal Income Tax Return?

Sold my residence in NJ in 2006. How do I report this sale in my Federal/State Income Tax return?? This property has one owner for 24 years. There is probably a long term capital gain tax liability on it despite the several upgrades made on it.

How to figure out the Federal Tax in a phone bill? In a bill from BellSouth, there are many Federal Charges: Federal Universal Service Charge, Federal Exercise Tax, and Federal Tax. Which kind of these taxes is claimed in Income Tax Return 2006? In additions, may a taxpayer claim Federal Tax in a moblie phone bill? Thanks for your answer.

I worked in Missouri last year for 3 months, can I get my income taxes returned to me? I live in Texas.? I worked in St Louis, MO, for 3 months last year (2006), I was wondering am I eligible to get my state income (not federal) taxes returned to me, since I don't live there permanently. I was on a contractual three month assignment. My permanent home location is in Texas. Anyone know?

overpaid state income tax itemized into federal deductions. any way to fix this year instead of next year? When overpaid state income tax is itemized into the federal deduction, I get back federal money I'm not technically entitled to. Next year I will have to report the state refund and pay federal taxes on it. 1) Will I have to report the 2006 state refund only if I itemize on the 2007 tax return? If yes, great (though doesn't make much sense), if not, where will it be reported? 2) Is there a way to adjust my federal taxes this year so that I don't get back this federal money now and don't have to report state refund next year? If yes, how? I was hoping for something on Schedule A, but I don't see it. Thanks. Ok I see the answer to #1 -- it's like 10 on the 1040. Thanks, Bill. But why would I have to amend my return? I haven't filed it yet. I will know exactly what all the amounts are before I file, I just don't know how to adjust my itemized deductions. crazydave -- your answer to my #2 doesn't apply because if I receive a refund for 2006 taxes, I have to report it on my 2007 tax return. Withholding won't change that. And no, I don't need to adjust anything -- this year is a special case and I didn't know I'll itemize until November. The actual problem is that I plan to be in a higher tax bracket in 2007, so if I have to pay tax on my refund I will simply lose a small chunk of money. skip -- yes, it's legitimate, and not just for 2006, it's also for 2007. I think people are having a hard time reading the years in my question, but they are correct, you just need to pay attention -- I refer to the 2006 tax return as the one due April 15 2007, and the 2007 tax return as the one due April 15 2008. You said that "The clawback is to the extent of the tax benefit received." But according to my estimates it is not. Example -- if my state refund is $100, then I will save $25 this year (because that $100 is part of itemized deductions under "state taxes paid"), but I will pay $28 next year.(because the refund will be reported on the tax return as income). It's too late to adjust anything for this year, and there won't be any need next year. I am going to itemize, there's no question about it. I just want to itemize in such a way that my state tax refund is included in the federal calculation. Generally federal is calculated first, then propagated to the state forms. I need the info on the state form to make it back to federal. I want to pay the proper federal tax with my 2006 return, not with my 2007 return. Clarification for Judy -- 12% interest (~ 28/25) is a little too high, especially considering that I know all this in advance. There's gotta be a way to fix it, does no one know....

How to do federal income tax when I transfered money from my 401K to a Rollover IRA account? Please help. Thx! In 2006, I transfered money from my employer sponsor 401K directly into my Rollover IRA account. They sent me a 1099-R form for the distribution although this money is tax exemption. How am I going to report this 1099-R in my income tax? Thanks for your help! Le Nghp

2 W-2 forms, file 1 or 2 federal income tax ? I've worked in 2 companies in 2006, should I file federal tax seperately or together? thanks

When filing out state income tax returns, do u use the federal return from 2007 or 2006, (what u received year

How do I have to report sweepstakes income if I sell the prize? I won a prize back in August 2006 worth almost as much as a car (about $9000). I still have it, but have never used it, and was just waiting for winter to end so I could decide if I want to keep it or sell it. I already paid sales tax on it. But, for income tax purposes, I am assuming I have to report the entire value as 2006 income. That's fine, but what if I sell the item in 2007 for less than it's worth (say $7500)??? Can I then declare my sweepstakes income for 2006 as $7500, or do I have to report the whole thing? it's going to be hard enough to pay federal + state income tax on an extra $7500 let alone the full $9000. Thanks I finally received the prize in December, when I couldn't use it or sell it. I'm still waiting for a 1099, but since I know the exact value that's what I was expecting to have to claim on my taxes.

I owe almost $11,000 in taxes. What do I do?? I just found out I owe roughly between $9,000 to $11,000 in state and federal income taxes for 2006 from a failed business venture. I checked this with an accountant, and I definitely owe the taxes. The company already filed it's return and my K-1, showing I had the income, so the IRS theoretically knows about it. I'm 24, have no assets or property, already have $2,000 in credit card debt, and have been unemployed for over seven months. I'm starting a job next month that will pay me $1,900 a month, so I was excited to get back on my feet. But I'm worried that paying off the IRS debt in installments will wreck me and ruin any chances I have to save up. 1) If I set up a payment arrangement, how much should I expect to pay per month, and for how long? 2)I haven't filed my return yet (got extension). How long b4 IRS comes after me? 3)What happens (realistically) if I ignore it? Could I claim Chapter 7 to erase it (making only $30,000 a year)? I really need realistic advice here.Thanks!

Anyone have a 2006 federal tax booklet? If so I was hoping that someone could look up what the tax is for 18,439 thats my taxable income so far this year I have a 2006 booklet but the one dang page i need was ripped out. I am just trying to estimate my taxes for this yr so far I have turbo tax but it thinks I am filing late and I cant fine out how much interest and penilties its adding on that way I could just subtract that part. I am single with no kids

Anyone have a 2006 federal tax booklet? If so I was hoping that someone could look up what the tax is for 18,439 thats my taxable income so far this year I have a 2006 booklet but the one dang page i need was ripped out. I am just trying to estimate my taxes for this yr so far I have turbo tax but it thinks I am filing late and I cant fine out how much interest and penilties its adding on that way I could just subtract that part

Telephone Excise Tax Refund? There is a new refund this year that you don't even have to itemize for. (http://www.irs.gov/newsroom/article/0,,id=164032,00.html) It is a refund of taxes paid on long distance. "The telephone tax refund is a one-time payment available on your 2006 federal income tax return, designed to refund previously collected federal excise taxes on long-distance or bundled services. It is available to anyone who paid such taxes on landline, wireless, or Voice over Internet Protocol (VoIP) service." My question is this: What if I am unsure if I paid this tax? I didn't have a landline in my name and the VoIP we have isn't in my name either. They are in my boyfriends name. I do/did have a cellular phone would this count? Or the better question might be "Will they know if I did or didn't pay taxes on this?" You don't even need your receipts they will estimate it for you. The refund is between $30 and $60.

How much should I have paid in Estimated Taxes for 2007? I am a self-employed college student and made less than $350 in 2006 and made between $10,000-$15000 in 2007. I was reading the 1040ES and it says this: "You do not have to pay estimated tax for 2007 if you were a U.S. citizen or resident alien for all of 2006 and you had no tax liability for the full 2006 tax year. You had no tax liability for 2006 if your total tax was zero or you did not have to file an income tax return." I was a citizen for all of 2006 and received back every bit of Federal Income Tax paid. I worked for about a month at a grocery store. Does this mean I won't have to pay penalties/interest for failure to file/underpayment for 2007? I believe I satisfy the requirements for an exception. Thanks

Federal Income Tax Accounting? In 2006, Nelville Flynn, a calendar year taxpayer, has $200,000 of income and $350,000 of deductions in computing taxable income, $100,000 of which are preference item deductions for alternative minimum tax (AMT) purposes. What is Flynn's AMT net operationg loss (NOL) for 2006??

Taxes - When is enough enough? I just received a document that was published by the company that does my taxes. The effective Federal Income tax rates for 2006 are as follows: Single Married Jointly Head of house Rate $1-$7,550 $1-$15,100 $1-$10,750 10% $7,551-30,650 $15,101-61,300 $10,751-41,050 15% $30,651-74,200 $61,301-123,700 $41,051-106,000 25% $74,201-154,800 $123,701-188,450 $106,001-171,650 28% $154,801-336,550 $188,451-336,550 $171,651-336,550 33% over $336,550 over $336,550 over $336,550 35% Before any deductions: A single making $40,000 pays $4,000 in taxes A single making $75,000 pays $21,000 in taxes A single making $336,550 pays $117,793 in taxes I see so many people on Yahoo saying the rich don't pay enough taxes. Take a look at the numbers I posted and tell my why you think that is fair?

2006 Taxes - filing from different states? My question has to do with filing a joint return with W-2s from Virginia (with state income tax) and Texas (No state income tax). I moved and worked in Texas from June 2006 until December 2006 while my husband and children remained in Virginia. I normally use Turbo Tax to file our taxes. So would I just create a federal return listing all work and income from both states and then just file the Virginia State Income Tax with only income earned for within the state of Virginia for 2006? Right?

Do you know the facts on taxes? Tax Facts Taking a look at government bucks. By Bruce Bartlett Just in time for tax-filing season, the Tax Foundation and the congressional Joint Committee on Taxation have compiled some useful facts about the federal tax system. Following are a few worth thinking about as taxpayers write their annual checks to Uncle Sam. In 2005, the federal government took $2.4 trillion out of the pockets of the American people. To put this number into context, it is about the same as the size of the entire U.S. economy in 1959 in inflation-adjusted terms. Only two other countries on earth have economies as large as our federal government: Germany and Japan — and Germany just barely makes the cut, with a gross domestic product of $2.7 trillion. China, which everyone is so alarmed about, has an economy significantly smaller than the federal government, with a GDP of $1.9 trillion — about equal to what the United States raises just from taxes on individuals. Contrary to popular belief, the vast bulk of federal taxes are paid by the wealthy. According to the Joint Committee on Taxation, in 2006, 53.7 percent of all federal income taxes were paid by those with incomes over $200,000. Those with incomes between $100,000 and $200,000 paid 28.3 percent of all individual income taxes. Thus those with incomes over $100,000 paid 82 percent of the total. They also paid 44.4 percent of all payroll taxes. Those with incomes below $40,000 paid no federal income taxes at all in the aggregate. The positive liability for those who paid anything was more than offset by tax rebates from the Earned Income Tax Credit for many more who paid nothing. In total, the EITC put $41 billion into the pockets of low-income workers in 2005, 91 percent of it being paid to those with no income tax liability. However, according to the Tax Foundation, three-fifths of Americans believe that it is wrong for anyone to pay no taxes at all, that everyone should pay something to finance the government. So-called tax loopholes — deductions and exclusions that reduce one's tax liability — are mainly used by the middle class, not the wealthy. The largest tax expenditures are the exclusions for pension contributions and health benefits for workers. Among the largest deductions are those for mortgage interest and state and local taxes. In 2005, taxpayers saved $62 billion in taxes due to the mortgage interest deduction, with 72 percent of that going to those with incomes below $200,000. The child credit saved taxpayers $46 billion — almost all of it claimed by the middle class. Just $8 million went to those with incomes over $200,000. Not surprisingly, three-fifths of taxpayers believe their taxes are too high. Only 2 percent think they are too low. About a third of taxpayers would support a reduction in government services in order to achieve further tax cuts. Just 8 percent favor bigger government financed with higher taxes. Support for fundamental tax reform is high. Four-fifths of taxpayers believe that the tax system is too complex. Just 3 percent believe the tax system is fine the way it is. By better than a two-to-one margin, taxpayers would be willing to give up major tax deductions, such as that for mortgage interest or state and local taxes, in order to get lower income tax rates. Almost all taxpayers think that the top federal income-tax rate of 35 percent is too high. More than 90 percent of taxpayers believe that the top rate should be no higher than 29 percent, with 70 percent saying that 19 percent should be the maximum. The Alternative Minimum Tax (AMT) is a rapidly growing federal tax. Originally designed to tax only the rich, increasingly it is a tax on the middle class. In 2005, the AMT affected only 1.3 percent of those with incomes between $50,000 and $100,000. Unless Congress acts, this will rise to 42.8 percent this year and over 50 percent next year. This illustrates the problem with all soak-the-rich tax proposals — eventually, they end up taxing the middle class, too. For years, Republicans have largely ignored the problem of the AMT — enacting temporary patches to the tax cut to keep the problem from getting worse, but not even attempting to offer a permanent fix. The latest patch expired at the end of last year, which is why there is such a sharp rise projected in the percentage of taxpayers affected by the AMT. Consequently, Democrats really have a gun to their heads — they must do something on the AMT by the end of the year. But because they have pledged to pay for all tax cuts, they must raise taxes somehow to pay for an AMT fix. Republicans aren't likely to offer much help in that area, making tax policy in 2007 an interesting spectator sport.

2006 federal tax credits? MAY I GET A TAX CREDIT FOR THE COST OF MY INLAWS DAY CARE? I PAY $1000 A MONTH AND MY INCOME EXCEEDS $200,000 A YEAR