Millions face higher taxes real soon without fix

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Associated Press

WASHINGTON (AP) - While much of Washington is consumed by the debate over tax increases scheduled to take effect next year, big tax hikes have already gone into effect for millions of families and businesses this year.
   
More than 70 tax breaks enjoyed by individuals and businesses expired at the end of 2011. If Congress doesn't extend them retroactively back to the beginning of this year, H&R Block says a typical middle-class family could face a $4,000 tax increase when it files its 2012 return in the spring.
   
At the same time, businesses could lose dozens of tax breaks they have enjoyed for years, including generous credits for investing in research and development, write-offs for restaurants and retail stores that expand or upgrade and tax breaks for financial companies with overseas subsidiaries.

(Copyright 2012 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

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