The IRS is considering what rules will apply when a company’s book income falls below what is required in President Joe Biden’s tax-and-climate law to be subject to the corporate alternative minimum tax, an agency official said Thursday.
Corporations that exceed $1 billion of average annual applicable financial statement income, or AFSI, over a three-year period will be subject to a 15% corporate AMT.
A company may still be subject to the tax even if its book income falls below the required AFSI. Treasury and the IRS are working on what parameters should be in place when corporate AMT no ...