For 2015, Silver Corporation (a calendar year business) incurred the following transactions: Taxable income$3,950,000 Accelerated depreciation on

Question:

For 2015, Silver Corporation (a calendar year business) incurred the following transactions:

Taxable income…………………………………………$3,950,000

Accelerated depreciation on pre-1987 real property

(in excess of straight-line depreciation) ………………… 1,240,000

Excess intangible drilling cost ………………………….. 475,000

AMT NOL deduction …………………………………… 790,000

ACE adjustment (positive) ……………………………… 1,500,000

a. Determine Silver Corporation’s AMTI for 2015.

b. Determine the tentative minimum tax base (refer to Exhibit 3.4).

c. Determine the tentative minimum tax.

d. What is the amount of any AMT?

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...