The purpose of the AMT is to replace the regular income tax.

Question

Quizplus · Accepted Answer

The purpose of the Alternative Minimum Tax (AMT) is not to replace the regular income tax, but rather to ensure that high-income individuals and corporations do not avoid paying their fair share of taxes through various deductions and loopholes. It is essentially a parallel tax system that calculates tax liability differently from the regular income tax, with the taxpayer paying the higher of the two amounts.

The Purpose of the AMT Is to Replace the Regular