In 2017, Job Corporation, a calendar year taxpayer, has AMTI (before adjustment for adjusted current earnings) of $7 million.If Job Corporation's ACE is $16 million, its tentative minimum tax for 2017 is:

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Quizplus · Accepted Answer

The tentative minimum tax is calculated by taking 20% of the AMTI after adjustments. The ACE adjustment is 75% of the difference between ACE and AMTI, which is $6.75 million. Adding this to the AMTI gives $13.75 million, and 20% of that is $2.75 million.

In 2017, Job Corporation, a Calendar Year Taxpayer, Has AMTI