Which of the following can be an effective tax planning opportunity for individuals who may be subject to the alternative minimum tax?

Question

Quizplus · Accepted Answer

There are several planning strategies to avoid being subject to alternative minimum tax. You can deduct state sales tax (which is not an adjustment) rather than state income tax. Dispose of private activity tax-exempt bond investments. Pay off home equity loans where the borrowed money was not used to improve the residence. You can also accelerate income through IRA or pension distributions.

Which of the Following Can Be an Effective Tax Planning