The Act, however, increased the personal exemption and standard deduction.
In 2007, the penalty was the loss of the personal exemption.
The Republican plan would add $500 to the personal exemption for a child, raising it from $2,300 to $2,800.
The President wants to increase personal exemptions, perhaps targeted to children.
But a large personal exemption - $33,800 for a family of four - would help the poor.
The individual must have gross income less than the amount of the personal exemption.
I ask you tonight to raise the personal exemption by $500 per child for every family.
Under the new law, however, he cannot claim a personal exemption.
"An increase in the personal exemption means more to them than to someone with higher income."
If you take care of an elderly in your home, you're going to get the personal exemption increased.