Reply to AMT -- about how much do you have to make to be subject to it?

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[quote=Anonymous][quote=Anonymous]It's not how much money you earn, it's how your AMT preference items stack up against that income.

It's possible to be a family of five with a kid in college and hit the AMT with an income of about $50,000. Or at least it was a few years ago.

It does seem to hit families who earn between about $200,000 and $500,000 who:

-- Have multiple children (the AMT treats children as an illegal tax shelter and disallows exemptions for them)
-- A lot of state and local income tax deductions (i.e., if your property tax is high as well as your state income tax).

Other common AMT triggers include:

-- Mortgage interest on a second loan (but not a primary mortgage)
-- Medical
-- Exercise of incentive stock options.

There are a bunch of others but those are the big ones I know off the top of my head.[/quote]

There is an 80k exemption for married couples filing jointly, plus you deduct interest on you home. Children are not an "illegal tax shelter". No one is going to pay it. On 90k.
It is a very reasonable tax, and much of the reason more people are being caught by it is because of the ridiculous bush tax cuts.[/quote]

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