IS: Alternative Minimum Tax and Form 6251 (484)

General Description:

The Individual Series of classes is designed for tax return preparers and new tax professionals. Participants will learn the underlying authority for, and possible complexity of, seemingly simple tax questions, and how that authority ties into tax software programs and preparation of the tax return for an individual. This course specifically addresses the alternative minimum tax (AMT) and how to complete Form 6251.

Learning Objectives:

After completing this course the participant will be able to:

• Compute alternative minimum taxable income for individuals.
• Explain the difference between exclusion preferences and deferral preferences.
• Recognize which line items on a Form 6251 are deferral preferences and which are exclusion preferences.
• Identify the most common situations in which individuals are likely to be subject to the AMT.
• Determine the adjustments under §56 and §58, including depreciation, long-term contracts, itemized deductions, interest deductions, and incentive stock options.
• Identify the tax preferences under §57, including the capital gain exclusion for the disposition of small business stock, elimination of the depletion deduction as a tax preference amount, and cut-back of intangible drilling costs as a tax preference item.
• Compute the alternative minimum net operating loss.
• Describe how the passive loss rules affect alternative minimum taxable income.
• Determine when the minimum tax exemption phases out.
• Calculate the minimum tax credit (MTC) and differentiate between deferral and exclusion preferences.

Instructors:

Mark A. Vogel is a retired professor and director of the University of Denver Graduate Tax Program, where for 38 years he taught courses in individual, fiduciary, tax accounting, partnership, and corporate taxation. He is the author of Divorce Taxation Guide (John Wiley & Sons) and Individual Taxation (Shepards/McGraw-Hill). He received a J.D. and LL.M. in Taxation from the University of Denver College of Law and an undergraduate accounting degree from the University of Notre Dame. He is also a CPA licensed in Illinois.

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