Business Opportunities

The Alternative Minimum Tax was put on businesses excluding the S corporations and corporations with a 3-year average yearly gross receipts, not topping 7.5M USD, a.k.a., small C corporations. The tax constituted 20% of AMTI (alternative minimum taxable income) beyond a USD 40,000 exclusion threshold. AMTI was calculated by subtracting certain modifications and ‘tax preference’ elements from the company’s usual tax liability. If a company has significant depreciation expense, percentage erosion, unique drilling expenses, or non-taxable profits, tax preferential or adjustment issues may develop.

Alternative Minimum Tax (AMT)

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