Which of the following statements is correct?
A)The AMT calculated under the direct and indirect methods produces the same amount.
B)The AMT calculated under the direct and the indirect methods produces different amounts.
C)The tax forms use the direct method to calculate the AMT.
D)The tax law uses the direct method to calculate the AMT.
E)None of the above is correct.

Question

Quizplus · Accepted Answer

The Alternative Minimum Tax (AMT) calculated under both the direct and indirect methods should produce the same amount, as they are simply different approaches to arrive at the same tax liability.

Which of the Following Statements Is Correct