Identify which of the following statements is true.

Question

Quizplus · Accepted Answer

Tax preference items are adjustments made to regular taxable income to calculate alternative minimum taxable income. These adjustments can increase alternative minimum taxable income, hence statement C is true. Statement A is false as the current corporate alternative minimum tax rate is 21%. Statement B is also false as certain credits can be taken into account when computing the tentative minimum tax.

Identify Which of the Following Statements Is True