8801 AMT Credit Carryforward – ISO

Home Fairmark Forum Equity Compensation 8801 AMT Credit Carryforward – ISO

This topic contains 1 reply, has 2 voices, and was last updated by  Kaye Thomas 1 week, 3 days ago.

Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • #3191

    vinakara2
    Participant

    I did an exercise and hold of ISO in 2016 and thus got some “#26 Credit carryforward” in 2016 tax return. I’m finding that this carry forward amount is reducing every year (it happened in 2017 and 2018). This reduction in carry forward is much much more than “#25 Minimum tax credit.” In fact in 2017 i got a credit of $0 but the carryforward still went down. Any ideas? Pls help!

    #3198

    Kaye Thomas
    Moderator

    It’s impossible to know exactly what’s going on without seeing your Form 8801, but for reasons that are not easily explained, your AMT credit carryover can legitimately decrease in a year you do not claim the credit. It has to do with the interaction of two different AMT calculations, one that applies only the exclusion rules, and one that applies the timing rules as well as the exclusion rules.

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.