Recommend Our Site to Your Friends!

Print This Page

Subject:  AMT Cost Basis Question
Date:  Thu, 25 Mar 2004
From:  Stan

If ISOs are exercised, but not enough to incur an AMT, is the cost basis of the stock for AMT reporting still adjusted to the market price at exercise?

Answer

Hello Stan,

Yes.

Good luck!

Mike Gray

For more information about incentive stock options, request our free report, Incentive Stock Options - Executive Tax and Financial Planning Strategies.

IRS Circular 230 Disclosure: As required by U.S. Treasury Regulations, you are hereby advised that any written tax advice contained in this answer was not written or intended to be used (and cannot be used) by any taxpayer for the purpose of avoiding penalties that may be imposed under the U.S. Internal Revenue Code.