Alternative minimum tax
Alternative minimum tax (also known by its acronym, AMT) is a provision of the U.S. Tax Code that requires profitable firms to pay at least some taxes if such taxes are greater than the amount due under standard tax accounting.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Alternative minimum tax (AMT). A provision of the U.S. Tax Code that requires profitable firms to pay at least some taxes if such taxes are greater than the amount due under standard tax accounting.
According to Fundamentals of Financial Management by Eugene F. Brigham and Joel F. Houston (15th edition),
- Alternative minimum tax (AMT). Created by Congress to make it more difficult for wealthy individuals to avoid paying taxes through the use of various deductions.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
