Phoenix Accountant | AMT
Most taxpayers may have never paid the Alternative Minimum Tax before, but they should be aware of it. Your tax situation may have changed and you may be subject to the Alternative Minimum Tax this year. You may have to pay this tax if your income is above a certain threshold. The Alternative Minimum Tax attempts to ensure that taxpayers do not claim an excessive amount of certain deductions and that they pay a minimum amount of income tax. Here are some things taxpayers need to be aware of regarding the Alternative Minimum Tax.
- You may have to pay the Alternative Minimum Tax if your taxable income, plus certain adjustments, is more than your exemption amount. You filing status and income determine the amount of your Alternative Minimum Tax exemption. In most cases, if your income is under the threshold amount you will not owe the Alternative Minimum Tax.
- In 2015, the Alternative Minimum Tax exemption amounts are:
- Single – $53,600
- Married filing jointly – $83,400
- Married filing separately – $41,700
- These exemption amounts will be reduced if your income exceeds these certain amounts:
- Single – $119,200
- Married filing jointly – $158,900
- Married filing separately – $79,450
- The Alternative Minimum Tax rules are complex and you should consult with CPA or qualified tax preparer if you feel like you may be subject to the Alternative Minimum Tax.
- You can use the AMT Assistant tool on www.IRS.gov to find out if you may be subject to the Alternative Minimum Tax.
- If you owe the Alternative Minimum Tax, you can use form 6251, Alternative Minimum Tax – Individuals, to calculate the amount you owe.
If you would like more information about the Alternative Minimum Tax or any other income tax issues, please contact us at Dusseau & Makris, PC, your Phoenix CPA firm.