* Russ Fox of Clayton Financial and Tax of Irvine, CA reports on TAXABLE TALK of two cases in which the Tax Court said, “The AMT May be Unfair, But You Must Pay It”. The Court points out that "The unfortunate consequences of the AMT in various circumstances have been litigated since shortly after the adoption of the AMT. In many different contexts, literal application of the AMT has led to a perceived hardship, but challenges based on equity have been uniformly rejected...Congress enacted the AMT and we have no authority to disregard them."
* AccountingWeb.com reports that Colleen M. Kelley, President of the National Treasury Employee's Union, has sent a letter to IRS Acting Commissioner Kevin Brown requesting the IRS to consider a mid-year increase in the standard mileage rate due to the high cost of gas. The IRS generally determines a new standard mileage rate in late fall, with that rate becoming effective January 1 of the following year. However there have been occasions in the past, like the summer of 2005, when the rate has been changed mid-year.