Form 6251 is used to calculate the Alternative Minimum Tax (AMT), a separate tax that limits how much certain deductions and tax benefits can reduce a taxpayer’s total tax. It applies to taxpayers with income or deductions that receive favorable treatment under regular tax rules. The form also helps determine the tentative minimum tax, which may affect eligibility for certain credits.
For 2024:
The exemption amount on Form 6251, line 5, is $85,700 ($133,300 if married filing jointly or qualifying surviving spouse; $66,650 if married filing separately).
The exemption phaseout thresholds are $609,350 ($1,218,700 on joint returns).
The 26% tax rate applies to the first $232,600 ($116,300 if married filing separately) of taxable excess (the amount on line 6).
To access Form 6251:
From within your TaxAct return, click Federal.
On smaller devices, click in the top left corner of your screen, then click Federal.
Click Taxes, then select Alternative minimum tax.
Continue with the interview process to enter your information.
The information is carried to Schedule 2 (Form 1040) Additional Taxes Line 1 and added to regular tax.
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