U.S. House approves alternative minimum tax bill

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The U.S. House of Representatives on Wednesday gave overwhelming final approval to a bill that would ensure millions of middle income U.S. taxpayers do not become ensnared by a tax originally designed for millionaires.

The bipartisan vote was 352-64. The Senate has already approved it, and President George W. Bush backs it.

The majority Democrats lost support from "Blue Dog" fiscal conservatives in their own party because the $50 billion cost of the tax bill was not paid for. But they picked up ample support from Republicans who also wanted to stop the alternative minimum tax from hitting an estimated 20 to 25 million middle class taxpayers when they file their 2007 returns.

Treasury Secretary Henry Paulson praised the congressional vote but predicted that action this late in the year could mean some delays for the Internal Revenue Service this tax season. U.S. taxes must be filed by April 15.

"The IRS is doing all it can to have a fully successful filing season," he said in a statement. "However, it is likely that there will be some delays, including delays of some refunds. The Treasury Department and the Internal Revenue Service will do everything possible to keep American taxpayers informed throughout the course of the upcoming filing season."

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