The American Taxpayer Relief Act of 2012 was a law passed by the U.S. Congress to address tax rates and fiscal issues. It aimed to prevent the so-called "fiscal cliff," which involved a combination of tax increases and spending cuts set to take effect at the beginning of 2013. The act primarily extended tax cuts for individuals earning less than $400,000 and couples earning less than $450,000, while increasing tax rates for higher earners. Additionally, the act included provisions to extend unemployment benefits and prevent cuts to Medicare payments. It also addressed various tax credits, such as the Earned Income Tax Credit and the Child Tax Credit, ensuring that many families would continue to receive financial support. Overall, the legislation sought to stabilize the economy and provide relief to American taxpayers.