In 2013,Maia (who files as a head of household) reported regular taxable income of $115,000.She itemized her deductions,deducting $8,000 in charitable contributions and $3,000 in state income taxes.She claimed exemptions for herself and her son,Hermes, ($3,900 each) .What is Maia's alternative minimum taxable income?

Question

Quizplus · Accepted Answer

To calculate alternative minimum taxable income, we need to start with regular taxable income and make adjustments/additions for items that are taxed differently under the alternative minimum tax rules.

Starting with Maia's regular taxable income:

$115,000

Additions: 
- State income tax deduction: $3,000 
- Personal exemptions (2 x $3,900): $7,800

Subtract the AMT exemption amount for her filing status: $51,900

$115,000 + $3,000 + $7,800 - $51,900 = $125,800

Therefore, the alternative minimum taxable income is $125,800. The correct answer is D.

In 2013,Maia (Who Files as a Head of Household) Reported