Aloha, Inc. had the following results for its first two years of operation: Which of the following statements is true?

Question

Aloha, Inc. had the following results for its first two years of operation:  Which of the following statements is true?

Quizplus · Accepted Answer

Based on the given information, Aloha, Inc. had a positive AMT credit in 2008, which was not fully utilized in 2008 but carried over to 2009. This is because the regular tax liability in 2008 was greater than the AMT liability, resulting in a positive AMT credit. In 2009, the regular tax liability was less than the AMT liability, allowing Aloha, Inc. to use the carried-over AMT credit amount. There is no information provided regarding a carryover or carryback from 2009 to 2010.