Tax Relief Certainty Act

The Tax Relief Certainty Act (S. 3975) proposes to make permanent several major tax cuts originally enacted in 2001 and 2003, which were otherwise scheduled to expire. Specifically, it would maintain lower individual income tax rates and continue the reduced tax rates for long-term capital gains and dividends.

For the average citizen, this bill would prevent a scheduled increase in federal income taxes and provide long-term stability for investors by locking in current rates on investment income. Additionally, the bill would gradually increase the exemption amount for the Alternative Minimum Tax (AMT) through 2020, protecting more middle-income taxpayers from being subject to that tax. However, the bill would also end certain expanded tax benefits for adoption after 2011.