[quote=TemekuT]Let’s all pay $3 interest so we can save $1 in taxes. That’s after adjusting for the benefit on the first portion of taxable income of $5,800 single and $11,600 married, available to all via the standard deduction. Then, be sure to adjust for AMT as Schedule A deductions are limited and personal and dependency exemptions are phased out as AGI increases. Okay, ready now? Let’s all rush out and acquire lots of “tax deductions” so we can all save money on our taxes.[/quote]
Correct me if I’m wrong but…
*The mortgage interest deduction for a primary resident does NOT normally get AMT limited.
Under even normal tax calculations, mortgage interest deduction can get phased out, but it’s gradual, unless your AGI is way way up there.
*Property Taxes, State Income Taxes, Personal Property Taxes are EXCLUDED from AMT calculations
So… If you have a high AGI and have a lots of deductions and am still hitting AMT, it’s because your state come/property/personal prop taxes aren’t doing didly squat in the current year. That’s also why you might want to check whether you want to pay your property taxes this year or next….
