Exemption amount increases for 2009 to $46,700 if single or head of household, $70,950 if married filing jointly or surviving spouse and $35,475 if married filing separately.
Tax-exempt interest on private activity tax-exempt bonds issued in 2009 and 2010 in not included in ATM taxable income.
The Alternative Minimum Tax (or AMT) is an extra tax some people have to pay on top of the regular income tax. It was designed to tax individuals who have a high income, yet were able to write-off most of the income with certain deductions.
Now the tax is targeting more and more middle income Americans.
To find out if you may have to pay AMT for 2009, visit, irs.gov -- keywords: amt, assistant (use the IRS calculator to determine if you may be exposed to the Alternative Minimum Tax
This is not a tax you want to be caught off guard with. Once it set in, deductions, regardless of how much, usually won't change your tax liability.
Blog Flux
About Me
- YouTube Channel
- I am a telecommunications engineer by trade, graduated DeVry - Chicago Campus, and worked WNUS-Chicago, KPIX San Francisco, Hewlett Packard and United Airlines - SFO. Born and raised in the San Francisco Bay Area. Lived in Europe, Africa for a short time, Mexico and South America. Early Childhood Education was my second career and my most rewarding. From vocational instructor at the college level to my own private preschool and kindergarten, this is the career that touched my heart. And now, even though I am retired and traveling the world, I still find the need to provide value for young children around the globe. I am the author of Travel the World on Social Security and several short fictional reads in the Kindle Store. My favorite Kindle eBooks are the series of educational books for kids ages 3 to 9 years of age. I have included each of the topics necessary for a young child to do well in Kindergarten. My eBooks are best viewed on a large-screen TV. The pages come to life, and children enjoy the enormous size of viewing their eBook on the big screen.