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The Working Americans' Tax Cut Act amends the Internal Revenue Code to provide tax relief for low- and middle-income individuals and impose a surcharge on high-income earners. It creates an alternative maximum tax rate of 25.5 percent for qualified individuals earning less than 175 percent of a cost-of-living exemption (indexed to inflation and ranging from $46,000 to $92,000 depending on filing status). The bill also imposes a new surcharge on high-income individuals: 5 percent on income between $1 million and $2 million, 10 percent between $2 million and $5 million, and 12 percent on income exceeding $5 million, with thresholds adjusted for inflation and joint filers.
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