For AMT purposes,the standard deduction and personal exemptions are:
A)Allowed for AMT purposes.
B)Added as a positive AMT adjustment.
C)Subtracted as a negative AMT adjustment.
D)Reduced by half for AMT purposes.

Question

Quizplus · Accepted Answer

The standard deduction and personal exemptions are not allowed for AMT purposes and must be added back as a positive AMT adjustment. This is because the AMT is designed to limit certain tax benefits that lower income taxpayers may receive. Therefore, taxpayers may not claim these deductions and exemptions for AMT purposes.

For AMT Purposes,the Standard Deduction and Personal Exemptions Are