LO$\mathrm{.}3$LO$\mathrm{.}3$Identify the adjustments made in calculating AMTI., $88$Identify and apply tax planning opportunities to minimize the AMT. Celine is going to be subject to the AMT in $2019.$ She owns an investment building and is considering disposing of it and

investing in other realty. Based on an appraisal of the building$$s value, the realized gain would be $$85,000.$ Ed has offered

to purchase the building from Celine with the closing date being December $29,2019.$ Ed wants to close the transaction in $2019$

because certain beneficial tax consequences will result only if the transaction is closed prior to the beginning of $2020.$

Abby has offered to purchase the building with the closing date being January $2,2020.$ The building has a $$95,000$ greater

AMT adjusted basis than regular tax basis. For regular income tax purposes, Celine expects to be in the $32\%$ tax bracket in

$2019$ and the $35\%$ tax bracket in $2020.$ What are the relevant tax issues that Celine faces in making her decision?