Tanya, who is head of household and age 32, provides you with the following information from her financial records for 2016.
Regular income tax liability$30,718AMT positive adjustments$30,000AMT preferences$20,000Taxable income$115,000
Calculate her AMTI for 2016.
a.$35,500.
b.$136,550.
c.$154,675.
d.$165,000
Maxwell, who is single, owns a personal residence in the city. He also owns a townhouse near the ocean. He uses the townhouse as a vacation home. In March 2016 he borrowed $50,000 on a home equity loan and used the proceed to acquire a luxury automobile. During 2016, he paid the following amounts of interest.
- On his personal residence $15,000
- On the townhouse 6,000
- On the home equity loan 4,000
- On credit card obligations 2,000
What amount, if any, must Maxwell recognize as an AMT adjustment in 2016?
a.$0.
b.$2,000.
c.$4,000.
d.$6,000.
Mandy, who is single and age 33, provides you with the following information from her financial records for 2016.
- Regular income tax liability $ 8,000
- AMT adjustments 10,000
- AMT preferences 20,000
- Taxable income 79,050
Calculate her AMT for 2016
a.$6,339
b.$8,000
c.$14,339
d.0.