Ashby, who is single and age 30, provides you with the following information from his financial records for 2017.
Calculate his AMT exemption for 2017.
A)$0
B)$26,075
C)$28,225
D)$54,300

Question

Ashby, who is single and age 30, provides you with the following information from his financial records for 2017. ​
 Calculate his AMT exemption for 2017.
A)$0 
B)$26,075 
C)$28,225 
D)$54,300

Quizplus · Accepted Answer

To calculate the AMT exemption for 2017, we need to look at the IRS AMT exemption table. For a single individual with no dependents like Ashby, the exemption amount for 2017 is $54,300. However, the exemption amount begins to phase out at higher income levels. According to the IRS, the exemption begins to phase out at income levels of $120,700 for single filers. Because Ashby's income level is not provided, we cannot determine if he qualifies for the full AMT exemption amount or if it is reduced due to the phase-out. Therefore, the best choice is C, which is the only answer option that falls within the range of possible exemption amounts.

Ashby, Who Is Single and Age 30, Provides You with the Following