Marriage Penalty Tax Relief: The Gramm Amendment

Publication Date: June 1998

Publisher: Library of Congress. Congressional Research Service

Author(s):

Research Area: Banking and finance

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Abstract:

On May 21, 1998, Senator Phil Gramm introduced an amendment to the Tobacco Settlement bill (S. 1415), which is intended to provide marriage penalty tax relief for low to middle income taxpayers. The amendment would create a new above-the-line deduction for taxpayers filing joint returns whose modified adjusted gross incomes fall below $50,000 in 1999.

This report, which will be updated if legislative action warrants, provides a brief description of the amendment and discusses some associated issues. For more detailed information on the federal income tax and marriage see: U.S. Library of Congress. Congressional Research Service. The Federal Income Tax and Marriage Neutrality. CRS Report 97-190E, by Gregg A. Esenwein. January 1997. For information on the tobacco settlement see: U.S. Library of Congress. Congressional Research Service. The Tobacco Settlement: Issues. CRS Issue Brief 98022, by C. Stephen Redhead. Updated periodically.