Which of the following statements is correct?
A) If the tentative minimum tax exceeds the regular income tax liability, AMT is $0.
B) The AMT exemption amount decreases as AMTI increases.
C) The highest AMT tax rate for individuals is 26%.
D) Only a. and c. are correct.
E) a., b., and c. are correct.

Question

Quizplus · Accepted Answer

Option A is incorrect because if the tentative minimum tax exceeds the regular income tax liability, the excess must be paid as AMT. 
Option C is incorrect because the highest AMT tax rate for individuals is 28%. 
Option D is incorrect because options A and C are incorrect. 
Option E is incorrect because option A is incorrect. Therefore, Option B is the only correct statement.

Which of the Following Statements Is Correct