Instructions For Form 6251 - Alternative Minimum Tax - Individuals

2 0 09

Department of the Treasury

Internal Revenue Service

Instructions for Form 6251

Alternative Minimum Tax—Individuals

alternative fuel vehicle refueling

both greater than the tentative amount

Section references are to the Internal

property credit, or the credit for prior

you figured for line 31, replace the

Revenue Code unless otherwise noted.

year minimum tax.

amount on line 31 with the smaller of

General Instructions

that net gain or the amount on line 29.

3. The total of Form 6251, lines 9

Also, enter “RPI” on the dotted line next

through 28, is negative and line 32

to line 31. Otherwise, do not change

would be greater than line 35 if you did

What’s New

line 31.

not take into account lines 9 through

•

The exemption amount has

28.

increased to $46,700 ($70,950 if

Credit for Prior Year

married filing jointly or qualifying

widow(er); $35,475 if married filing

Minimum Tax

Recordkeeping

separately).

•

See Form 8801, Credit for Prior Year

For the AMT, certain items of income,

The minimum exemption amount for

Minimum Tax — Individuals, Estates,

deductions, etc., receive different tax

a child has increased to $6,700.

and Trusts, if you paid AMT for 2008 or

treatment than for the regular tax.

•

Interest on private activity bonds

you had a minimum tax credit

Therefore, you need to refigure items

issued in 2009 or 2010 is not a tax

carryforward on your 2008 Form 8801.

for the AMT that you figured for the

preference item. Do not include it on

If you pay AMT for 2009, you may be

regular tax. In some cases, you may

line 13. See page 4.

able to take a credit on Form 8801 for

wish to do this by completing the

•

If you claimed a regular tax deduction

2010.

applicable tax form a second time. If

for any state or local sales or excise tax

you do complete another form, do not

on the purchase of a new motor

attach it to your tax return, but keep it

Optional Write-Off for

vehicle, that tax is also allowed as a

for your records. However, you may

deduction for the AMT. See lines 3 and

have to attach an AMT Form 1116,

Certain Expenditures

Foreign Tax Credit, to your return; see

•

There is no AMT adjustment for the

The 90% limit on the alternative tax

the instructions for line 33 that begin on

following items if you elect for the

net operating loss deduction (ATNOLD)

page 9.

regular tax to deduct them ratably over

does not apply to the portion of an

the period of time shown.

For the regular tax, some deductions

ATNOLD attributable to any 2008 or

•

and credits may result in carrybacks or

2009 loss you elected to carry back

Circulation expenditures — 3 years

carryforwards to other tax years.

more than 2 years under section

(section 173).

Examples are investment interest

•

172(b)(1)(H). See the instructions for

Research and experimental

expense, a net operating loss, a capital

line 12 on page 3.

expenditures — 10 years (section

loss, a passive activity loss, and the

174(a)).

Purpose of Form

foreign tax credit. Because you may

•

Mining exploration and development

have to refigure these items for the

Use Form 6251 to figure the amount, if

costs — 10 years (sections 616(a) and

AMT, the carryback or carryforward

any, of your alternative minimum tax

617(a)).

amount may be different for the AMT

•

(AMT). The AMT applies to taxpayers

than for the regular tax. Your at-risk

Intangible drilling costs — 60 months

who have certain types of income that

limits and basis amounts also may

(section 263(c)).

receive favorable treatment, or who

differ for the AMT. Therefore, you must

qualify for certain deductions, under the

For information on making the

keep records of these different

tax law. These tax benefits can

election, see section 59(e) and

amounts.

significantly reduce the regular tax of

Regulations section 1.59-1. Also see

some taxpayers with higher economic

Pub. 535.

Partners and

incomes. The AMT sets a limit on the

amount these benefits can be used to

Shareholders

reduce total tax.

Specific Instructions

If you are a partner in a partnership or a

Also use Form 6251 to figure the tax

shareholder in an S corporation, see

liability limit on the credits listed under

Schedule K-1 and its instructions to

If you owe AMT, you may be

Who Must File next.

figure your adjustments or preferences

TIP

able to lower your total tax

from the partnership or S corporation to

(regular tax plus AMT) by

include on Form 6251.

Who Must File

claiming itemized deductions on Form

1040, even if your total itemized

Attach Form 6251 to your return if any

deductions are less than the standard

Nonresident Aliens

of the following statements is true.

deduction. This is because the standard

1. Form 6251, line 32, is greater

If you are a nonresident alien and you

deduction (except the part due to a net

than line 35.

disposed of U.S. real property interests

disaster loss or sales or excise tax on

2. You claim any general business

at a gain, you must make a special

the purchase of a new motor vehicle) is

credit in Part I of Form 3800, the

computation. Fill in Form 6251 through

not allowed for the AMT and, if you

empowerment zone and renewal

line 31. If your net gain from the

claim the standard deduction on Form

community employment credit, the

disposition of U.S. real property

1040, you cannot claim itemized

qualified electric vehicle credit, the

interests and the amount on line 29 are

deductions for the AMT.

Cat. No. 64277P

Instructions For Form 6251 - Alternative Minimum Tax - Individuals - 2009

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