Members float bipartisan bill offering a permanent AMT fix

Part of the reason Americans are so pessimistic about their financial future is they are uncertain how they will be taxed from one year to the next, Garrett said. One-year fixes to the problem are no longer acceptable; we need a permanent solution to address the problem once and for all.

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Lowey added: Congress must increase the AMT exemption levels to protect millions of middle-class taxpayers from a tax burden they were never intended to shoulder.

Under current law, married couples are exempt from the AMT if they make less than $74,450, or individuals if they make less than $48,450. But on Jan. 1, those exemption levels will drop to $45,000 and $33,750, respectively.

Garrett and Lowey said an estimated 34.4 million people will be subject to increased taxes through application of these new minimum levels. Under their bill, the $100,000 and $75,000 exemption levels would rise with inflation.