Reva and Josh Lewis had alternative minimum taxable income of $350,000 in 2016 and file a joint return.For purposes of computing the alternative minimum tax,their exemption is
A)$36,225.
B)$47,575.
C)$0.
D)$83,800.

Question

Quizplus · Accepted Answer

The exemption for married filing jointly for the AMT is $83,800. However, the exemption is phased out for taxpayers with AMTI above certain levels. For 2016, the phase-out begins at $543,900. Reva and Josh's AMTI is $350,000, which is below the phase-out threshold. Therefore, their exemption is not phased out and they are entitled to the full $83,800 exemption.

Reva and Josh Lewis Had Alternative Minimum Taxable Income of $350,000