Prior depreciation equivalent is the amount of depreciation that was
"allowed or allowable" from the first date your business started
using that asset. It is the total for all years.
AMT stands for Alternative Minimum Tax. The amount of
depreciation for AMT purposes may be different than the prior depreciation if
you are subject to AMT. The most simple explanation is if you took and
Special Depreciation allowance or Accelerated Depreciation on the asset in
prior years, that special (or excess) amount would be deducted for AMT
purposes. If you did not do this, then AMT Depreciation would be the same
as regular depreciation.
Also, please see this link regarding AMT Alternative Minimum Tax
Common Questions .
