---**Required Information***The following information applies to the questions displayed below.*Steve's tentative minimum tax (TMT) for 2023 is $245,000.**Note:** Leave no answer blank. Enter zero if applicable.---**Question:**a. What is his AMT if his regular tax is $230,000?[Alternative minimum tax __________ ]---In this question, students are asked to calculate the Alternative Minimum Tax (AMT) based on Steve's regular tax amount compared to his tentative minimum tax. The AMT is the amount by which the tentative minimum tax exceeds the regular tax, or zero if the regular tax is higher. The answer space provided indicates where students should input their calculated AMT.

Answer:- Tentative minimum tax meaning:- Tentative minimum tax refers to an amount that is paid by an individual as an estate tax after deducting all the exceptions and deductions for reducing the tax liability.The alternative minimum tax (AMT) applies to taxpayers with high economic income by setting a limit on those benefits.. It helps to ensure that those taxpayers pay at least a minimum amount of tax.Taxpayers who have incomes that exceed the AMT exemption may be subject to the alternative minimum tax. In 2023, AMT rates are 26% or 28%.Answer:- bCalculation of tentative minimum tax:- ParticularsAmount $TMT 245,000Regular Tax 230,000AMT greater of the TMT & Regular Tax245,000AMT is greater of the TMT & Regular Tax$ 245,000

Answered: steve's tentative minimum tax

Business

Accounting

steve's tentative minimum tax

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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