Am I exempt from Alternative Minimum Tax?

September 26, 2011

Date:   Mon, 22 Mar 2010
From:   Michelle

Hi Michael,

I exercised and held ISOs last year and the tax preference for the excess of the fair market value of the stock over the option price was about $30,0000. From what I understand, since the preference is under the AMT exemption of $45,000 for a single tax filer, then I won’t have an AMT. Is that right?

Also, I thought some of the information for the exercise should be reported on my W-2. Is that right?

Thank you for your time.

Sincerely, Michelle


Date:   7 Apr 2010

Hello Michelle,

No, I’m afraid you are mistaken on both counts.

Your additional AMT income is added to your regular income on Form 6251. I suggest that you get a copy of the form and instructions at

The information isn’t reported on Form W-2, but your employer is supposed to provide you with a statement of information for you to report on your income tax return.

Good luck!

Mike Gray

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