- 5 - tax to be 26 percent of this excess, or $3,525. Since the amount of regular tax reflected on petitioner's return was $1,850, respondent determined that petitioner was liable for the AMT in the amount of $1,675, the excess of the tentative minimum tax over the regular tax reflected on petitioner's return. As indicated, petitioner argues that, since the AMT was intended to apply only to wealthier individuals, it should not apply to him in this instance. Notwithstanding the mathematical error explained supra note 4, we find no fault with respondent's application of the AMT provisions or the method by which respondent computed petitioner's AMT liability. The plain meaning of the AMT provisions is that the amounts claimed by petitioner on Schedule A of his return for legal expenses and real estate taxes paid are not deductible for purposes of calculating AMTI. Sec. 56(b)(1)(A). Although the results may seem harsh to petitioner in this case, Congress created the AMT by enacting the applicable statutory provisions, and we do not have the authority to disregard a legislative mandate. Alexander v. Commissioner, T.C. Memo. 1995-51, affd. 72 F.3d 938, 946-947 (1st Cir. 1995). Accordingly, we sustain respondent's determination. To reflect the foregoing, Decision will be entered under Rule 155.Page: Previous 1 2 3 4 5
Last modified: May 25, 2011