At the end of last year, a package of 51 targeted tax-reducing provisions and the patch to protect middle-income taxpayers from the alternative minimum tax (AMT) expired. There is tremendous pressure on Congress to extend all of these provisions, including the ethanol tax credit. It could be paired with the payroll tax holiday which is being negotiated behind closed doors.
The problem facing lawmakers and taxpayers stems from a complicated tax code in desperate need of reform. Absent comprehensive reform, conservatives must fight against renewing or creating tax provisions that pick winners and losers, such as the ethanol tax credit or the NATGAS Act.