Nell has a personal casualty loss deduction of $14,500 for regular income tax purposes.The loss was computed as $26,600,but it was reduced by $100 and by $12,000 (10% × $120,000 AGI).For AMT purposes,the casualty loss deduction also is $14,500.

Question

Quizplus · Accepted Answer

The AMT casualty loss deduction is not subject to the 10% AGI limitation, so it is still $14,500, which is the same as the regular income tax deduction. Therefore, the statement is true.

Nell Has a Personal Casualty Loss Deduction of $14,500 for Regular