Alternative Minimum Tax Is killing ME!

[tinymomo]

I have been doing our taxes for years, and in the past few years, I have used turbotax.
I was working on our taxes today, and found out I have been flung into the AMT quagmire. I have even removed some of my LEGITIMATE deductions to make it go away, and still, nothing.

Anyone else having issues with this? Anyone know what the triggers are? We had a lot of uncovered medical due to out of pocket for extensive dental work I had to have. (My teeth started popping out after having 2 pregnancies close together)

We had a large home interest deduction too.

[kristinecfp]

Re: Alternative Minimum Tax Is killing ME!

A lot of people are facing the AMT tax now that were never intended to pay AMT tax. Some of the most common triggers are bonuses, exemptions (more than 3 children), stock options, large capital gains, large state income tax deduction, large medical expenses, etc.

Here are a couple of articles I found that might help:

http://moneycentral.msn.com/articles/tax/basics/6647.asp

http://www.smartmoney.com/tax/filing/index.cfm?story=amt

http://www.turbotax.com/articles/FAQontheAlternativeMinimumTax.html

Unfortunately, fixing the AMT problem doesn't seem to be a priority for politicians right now, so don't look for any relief soon (although I really hope I'm wrong about that).

Good luck.

[dealsaver]

Re: Alternative Minimum Tax Is killing ME!

This may be of some help for next year - AMT TAX PLANNING AND FAQ . It's too late to do anything for last year's taxes except perhaps make a deductible IRA contribution for 2005.

[tinymomo]

Re: Alternative Minimum Tax Is killing ME!

This may be of some help for next year - AMT TAX PLANNING AND FAQ . It's too late to do anything for last year's taxes except perhaps make a deductible IRA contribution for 2005.

I did that too....thanks for your help everyone, and the web site links kristinecfp!