Ed and Rich,

Thanks for the answers

regards,
bill

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"bill" <williams12345[at]excite.com> writes:

- quote -

Correct.

- quote -

Correct.

- quote -

It's zero because there's no difference between the regular
tax net gain (-$3000) and the AMT net gain (-$3000) in the
scenario you give.

- quote -

No.

--
Rich Carreiro rlcarr[at]animato.arlington.ma.us

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"bill" <williams12...[at]excite.com> wrote:

- quote -

You don't need to calulate line 16 because none of your
LTCGs are AMT. Line 16 is to show the difference if it WAS
AMT, which is Zero, so put 0 on line 16 (or leave it blank).
There is also no AMT Cpital Loss Carryover so you don't
need the form.

ed

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I have some questions on how to calculate AMT 6251, line 16.

Assume no form 4797, no form 4684, no ISOs. Assume in 2005 a
salary of $50K. And a LT cap loss of $103K (from sale of
stock), no cap gains, no ST loss. So, 2005 uses up only $3K
of that cap loss, and $100K LT loss is carried forward to
2006.

For 2006, assume a salary of $50K. And, in 2006 assume a LT
cap gain of $100K (from sale of stock), no ST gain, no cap
loss. The sch D for 2006 uses the $100K carryover to reduce
the 2006 net cap gain to $0K.

Ok, that is all clear to me. This is where it gets fuzzy.
6251, line 16 says to "refigure Sch D for the AMT", and
"fill out an AMT Capital Loss Carryover Worksheet in the Sch
D instructions".

I cannot find the "AMT Capital Loss Carryover Worksheet in
the Sch D instructions". I suspect that they meant use the
"Capital Loss Carryover Worksheet in the Sch D
instructions", using AMT adjustments. Right?

In this example, there are no AMT adjustments (I believe),
so the AMT cap loss carryover is the same as the regular cap
loss carryover? Is that right?

And, when you "refigure Sch D for the AMT", you refigure Sch
D using the AMT cap loss carryover? And, since the Sch D had
no AMT adjustments, the AMT net cap gain is $0K. And, the
result is that line 16, 6251 is $0K, correct?

Is there a .gov document that explains clearly how to
calculate line 16?

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