05 Oct 2026
If your income is up this year or you’re considering a major financial move, I’d like to talk before you make that decision. The alternative minimum tax, or AMT, is one reason your tax bill could look different from what you expect.
The AMT calculates your taxes using different rules for certain income and deductions. Some benefits allowed on your regular return don’t receive the same treatment under the AMT. A high income alone doesn’t mean you’ll owe it; what matters is how the two calculations compare.
For 2026, the AMT exemption is $90,100 for single filers and $140,200 for married couples filing jointly. That exemption begins shrinking when income calculated under AMT rules exceeds $500,000 or $1 million, respectively. Those thresholds are a reason to review your situation, rather than assume last year’s tax result will carry over.
You don’t have to figure out whether the AMT applies on your own. Bring me your income estimates, your questions, and any plans to sell investments or exercise stock options. We’ll run the numbers together and look at whether the timing of those decisions could make a difference.
Tax strategy is one of my specialties, and I want you to have that information while you still have time to act. Call me at Frazier & Co., CPA & Advisors at 765-631-1248, and let’s review your plans before year-end. You don’t need to know which tax rules apply before we start. That’s what I’m here to help you understand.
© 2026
Tags: IRSTax