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For the last few years when we do our taxes AMT gets triggered. Been to several accountants and they all say that there isn't much we can do to lessen the impact. We heard that a tax advisor or an enrolled agent might be more knowledgeable. Suggestions?

Jan 11, 2013 by Ana from Union, NJ in  |  Flag
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4 votes

Ana, I don't know anyone in that area. You might check some of the professional organizations to find someone who can help. The National Association of Enrolled Agents has a "Find an EA" function on their website and The American Institute of Certified Public Accountants has a "Find a CPA" function.

Comment   |  Flag   |  Jan 12, 2013 from Alexandria, VA

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Ana, Like Helen I'm an Enrolled Agent, so I am biased. I think the key is to find someone who specializes in taxes and tax planning. Often with proper planning AMT can be minimized (once the year ends you can't do much about controlling the AMT). But if you are subject to AMT, a good advisor who specializes in taxes might see ways to minimize taxes for the family unit. An Enrolled Agent or a CPA who specializes in individual income taxes (not all do) should be able to help you.

2 Comments   |  Flag   |  Jan 11, 2013 from Alexandria, VA
Ana

I've searched for an CPA for the last 2 years but they all say nothing much I can do. Where can I find a good advisor in no/NYC area? Or CPA that is willing who can help us minimize the impact?

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Flag |  Jan 12, 2013 near Union, NJ
Ana

NJ/NYC area

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Flag |  Jan 12, 2013 near Union, NJ

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Several items are used in AMT calculations. These items are called preference items which should be avoided such as muni-bonds, LP's the list is extensive. In 2013 this will improve since Congress fixed the AMT problem which affected quite a large part of the population. The new exemption amount will aid in eliminating or reducing the AMT for most folks.

Comment   |  Flag   |  Jan 13, 2013 from San Antonio, TX

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The AMT is not an easy calculation for anyone to understand. There are several items that may be triggering your AMT problem, most often are stock options, municipal bond income and miscellaneous deductions that exceed 2% of your AGI (taken on your schedule A). Any good, qualified tax professional should be able to analyze your situation. I am an enrolled agent, so I am biased, but I would definitely seek the assistance of an EA or CPA for your tax preparation needs.

View all 4 Comments   |  Flag   |  Jan 11, 2013 from Fort Worth, TX
Ana

Among the tax breaks lost for higher incomes are itemized deductions for mortgage interest. Those will now be capped for individuals making more than $250,000 and couples making more than $300,000.

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Flag |  Jan 11, 2013 near Union, NJ
Ana

We are above $105,000 but way below $300,000. They don't talk about people in this category

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Flag |  Jan 11, 2013 near Union, NJ

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There is good advice above. Some EA's may give you a complimentary one hour session to see if they can help. Here is the link to find an EA in your area:
https://portal.naeacentral.org/webportal/buyersguide/professionalsearch.aspx

Good luck!

Comment   |  Flag   |  Mar 08, 2013 from Newport Beach, CA

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Adi Benyishay Level 13

Unfortunately, it's very difficult to advise you without seeing your tax return. CPAs are not always the best to talk to on that. Sometimes a knowledgeable, savvy, and experienced registered advisor can analyze this, and get you better results.

Comment   |  Flag   |  Mar 25, 2013 from Southampton, PA

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A tax professional may be able to help you reduce future taxes through planning. However, unless you are making some error when you prepare your own taxes, consulting with an EA or CPA is unlikely to change the tax liability on your current return. Best of luck in your search.

Comment   |  Flag   |  Feb 21, 2013 from San Francisco, CA

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