Alternative Minimum Tax (AMT) Calculator
2026Calculate whether you owe AMT from ISO stock options, SALT deductions, or high income.
Regular Tax
$41,063.00
Additional AMT
$14,811.00
Total Tax
$55,874.00
AMT Calculation
| Regular Taxable Income | $200,000.00 |
| + ISO Exercise Spread | $100,000.00 |
| + SALT Addback (above $10K) | $5,000.00 |
| Alternative Minimum Taxable Income (AMTI) | $305,000.00 |
| AMT Exemption (Single) | $90,100.00 |
| AMT Taxable Income | $214,900.00 |
| Tentative Minimum Tax | $55,874.00 |
Tax Comparison
| Regular Federal Tax | $41,063.00 |
| Tentative Minimum Tax (AMT) | $55,874.00 |
| Additional AMT Owed | $14,811.00 |
| Total Federal Tax | $55,874.00 |
| AMT Triggered? | Yes |
Strategies to Minimize AMT
| Spread ISO exercises | Exercise over multiple tax years |
| Time exercises strategically | Exercise when stock price is near strike |
| AMT credit carryforward | AMT paid on ISOs generates a credit for future years |
| Consider disqualifying disposition | Selling ISO shares early avoids AMT (but loses LTCG) |
| Minimize SALT in AMT years | Defer property tax payments if possible |
Use the Alternative Minimum Tax (AMT) Calculator above to calculate your results. Enter your values and see instant results — all calculations run in your browser.
Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.
How It Works
The Alternative Minimum Tax (AMT) Calculator determines if you owe additional tax under the parallel AMT system, which ensures high earners pay a minimum amount regardless of deductions. For 2026, the AMT exemption amounts are $85,700 for single filers and $133,300 for married filing jointly, with phase-out beginning at $609,350 and $1,218,700 respectively.
The calculator computes your Alternative Minimum Taxable Income (AMTI) by adding back certain deductions and preferences to your regular taxable income, then applies AMT rates of 26% and 28%. You owe AMT only if this calculated amount exceeds your regular income tax liability, paying the difference as additional tax.
Common AMT triggers include large state and local tax deductions, significant miscellaneous itemized deductions, and incentive stock option exercises. Many taxpayers are surprised by AMT when they have high income but substantial deductions that are disallowed under AMT rules, particularly in high-tax states.
Single Filer with $200,000 Income and $25,000 State Tax Deduction
- 1 Calculate AMTI: Start with $200,000 taxable income and add back the $25,000 state and local tax deduction (disallowed for AMT), resulting in $225,000 AMTI.
- 2 Apply AMT exemption: Subtract the $85,700 single filer exemption from $225,000 AMTI to get $139,300 in taxable AMT income.
- 3 Calculate AMT liability: Apply 26% rate to the first $220,700 of AMT income, resulting in $36,218 in tentative minimum tax ($139,300 × 26%).
- 4 Compare to regular tax: If regular income tax is $32,000, the AMT liability is $4,218 ($36,218 - $32,000), which must be paid in addition to regular tax for a total of $36,218.
Source: IRS — Forms, Instructions & Publications · Last updated: April 2026
Frequently Asked Questions
Who has to pay AMT in 2026?
How is AMT calculated?
Do ISO stock options trigger AMT?
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