George Bauernfeind

Thinking of Buying a Home? Watch Out for the AMT “Bite.”

Economists are saying the real estate market may finally be bottoming out. New construction activity is picking up, as are resales of existing homes. There remains a significant of foreclosure activity, but to a buyer this is just another opportunity. ... Read >

Alternative Minimum Tax Fails to Hit the Wealthy With any Real Impact

Everyone knows the history of the Alternative Minimum Tax – its intended purpose was to ensure that the wealthy were paying at least something like what today is called their “fair share” of taxes. But as everyone also knows, its real impact has landed o... Read >

Year-End Tax Extenders – Where’s The Patch?

Every year at about this time Congress starts thinking about what tax laws will expire on December 31, and what it really needs to be doing about these. Of the 65 various tax provisions that will expire, one of the big ones is the annual “Patch” for the ... Read >

Should You Accelerate or Defer Income to Minimize Your Alternative Minimum Tax?

In connection with year-end tax planning, much has been written about accelerating or deferring deductions. The sometimes-overlooked question of accelerating or deferring income deserves just as much attention, especially for those in the Alternative Min... Read >

IRS Releases 2011 Version of Form 6251 - Time to Start Thinking about Year-End Tax Planning

The IRS recently released its 2011 version of the Form 6251 – Alternative Minimum Tax – Individuals. With year-end only a few months away, this serves as a timely reminder that anyone stuck in the AMT needs to start thinking about the ways they can reduc... Read >

Who Can Benefit from the Alternative Minimum Tax Credit?

With few exceptions, when the Alternative Minimum Tax is paid it is money out the door - gone forever. No surprise here since this is the way taxes work. What is a surprise to many folks, however, is that a portion of the AMT paid in one year may instea... Read >

Incorporate Your Small Business and Avoid the Alternative Minimum Tax

The Alternative Minimum Tax applies both to corporations as well as to individuals. While many of the AMT rules are the same, there are some significant differences between the two. One of the more significant of these differences is a provision that to... Read >

Double the Worry! - State Alternative Minimum Tax

A number of states have their own version of an Alternative Minimum Tax – one that is imposed at the state level, separate and distinct from the Federal Alternative Minimum Tax. While a state AMT certainly adds to the burden of those subject to the Fede... Read >

Tax Court Denies Challenge to the Alternative Minimum Tax, Revealing Costly AMT Taxpayer Errors

On occasion a frustrated taxpayer will go to Tax Court in an attempt to convince a judge that the Alternative Minimum Tax was never intended to apply to them. As in the case of Fritz v. Commissioner, however, no sympathy is ever found there - if the calc... Read >

401(k) Roth Conversion: Alternative Minimum Tax Payers Need to Give this Serious Consideration

Recent tax law changes have opened up a whole new area of tax planning around employee retirement plans. Individuals with IRA accounts always have had the opportunity to do a Roth conversion, but now for the first time an employee’s 401(k) account also m... Read >

Exercising Employee Stock Options – Beware of the Alternative Minimum Tax

With the stock market having nearly doubled over the past two years, many individuals holding stock options that they received from their employers are giving serious consideration to cashing out the value in these options. This article discusses the two... Read >

I Am Retired – Does the AMT Apply to Me?

Of all the different types of AMT taxpayers, retirees typically are the most surprised when they find themselves stuck in the Alternative Minimum Tax. Unfortunately, there is no “age exemption" for the AMT – an individual could reach 100 and still be pay... Read >

I Am an Investor – Does the AMT Apply to Me?

Every taxpayer with an investment portfolio of any size definitely needs to be concerned about the Alternative Minimum Tax. Certain types of investments, and the income earned on those investments, are likely to trigger the AMT. Most investors also have... Read >

I Own and Operate a Small Business – Does the AMT Apply to Me?

Among the many paperwork burdens small business owners must endure is the filing and paying of income taxes for the business. Even if no taxes currently are due because of losses, accurately computing and tracking of tax losses is a must. And, as if the... Read >

Roth IRA Conversions and the Alternative Minimum Tax

Everyone with a traditional IRA should be looking into whether converting to a Roth IRA might make sense for them, because the ability to shelter future earnings from taxation is a very attractive feature of the Roth. The difficult part in doing a conver... Read >