Question: What are some general rules of thumb for guessing whether you will be subject to the Alternative Minimum Tax? I want to know if there are certain behaviors to avoid in the coming years to make sure I do not expose myself to the AMT.\n\nShould I spread any capital gains over time, so they don't accumulate in a single year?\n\nWould a spouse going back to work make us more susceptible to the AMT?

Answer: Amt effects higher income taxpayers, meaning at this time $90,000 and above. This has to be in combination with high deductions for taxes (real estate and income) and high miscellaneous deductions.\nCapital gains don't affect AMT as you get the 15% tax rate on both the regular tax and the AMT tax. The problem here is that you would pay state income tax on the gain so you would need to see the effect of this payment on AMT. You should run the tax numbers to see which year to pay the state tax on the gain, or how much to pay this year and how much to pay with the return next year.\nIf you had 15 or more personal exemptions you could also run up against the AMT. \nA spouse could cause a problem because your more income would cause more state income tax withholding that could cause AMT.
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