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New Member
posted Jun 4, 2019 7:24:12 PM

If you owe AMT and are receiving a refund, does Turbo Tax take care of the amount of AMT you owe by deducting it along the way?

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1 Best answer
Level 1
Jun 4, 2019 7:24:13 PM

AMT or alternative minimum tax is an alternative method of calculating tax liability.  An individual is responsible for paying either his regular tax or his minimum tax.  Bottom line if you are showing a refund, and alternative minimum tax was assessed, it has already been considered in calculating your refund.  So your refund will not change, it already is net of Alternative Minimum Tax.

3 Replies
Level 1
Jun 4, 2019 7:24:13 PM

AMT or alternative minimum tax is an alternative method of calculating tax liability.  An individual is responsible for paying either his regular tax or his minimum tax.  Bottom line if you are showing a refund, and alternative minimum tax was assessed, it has already been considered in calculating your refund.  So your refund will not change, it already is net of Alternative Minimum Tax.

New Member
Feb 20, 2020 2:54:25 PM

So I paid AMT in 2019.  Does turbotax automatically load that info

into my 2020 return and calculate the refund as I progress through the file? 

I haven't completed my return yet but I haven't loaded any AMT amounts into Turbotax yet.

Expert Alumni
Feb 24, 2020 7:43:22 AM

It is not very often that AMT tax paid in a prior year is refunded.  Only items that create timing differences between AMT and Regular tax calculations can allow a tax credit for AMT.  So if you paid tax on incentive stock options or depreciation timing differences you can generate a credit on Form 8801.

 

To locate this section in TurboTax:  Click on Deductions & Credits, scroll down to the Estimates and Other Taxes Paid section, and click the Start button to the right of Credit for AMT Paid in Prior Year.