Income Tax Estimator Calculator
Free income tax estimator calculator. Estimate your federal income tax for 2026 based on filing status, income, deductions, and credits with a bracket-by-bracket breakdown.
Alternative Minimum Tax (AMT) Calculator
Free 2026 AMT calculator. Estimate Alternative Minimum Tax using AMTI, exemption phaseouts, and tentative minimum tax so you can see whether AMT exceeds regular federal tax.
$
$
AMT Preference Items
State/local taxes claimed
$
Exercise spread on ISOs
$
Private activity bonds, etc.
$
Subject to AMT
+$10,082.00
Additional tax on top of regular tax of $62,000.00
AMTI⧉
$365,000.00
Taxable income + $65,000.00 preferences
AMT Exemption⧉
$90,100.00
Full exemption: $90,100.00
AMT Base⧉
$274,900.00
AMTI minus exemption
Tentative Minimum Tax⧉
$72,082.00
26%/28% on AMT base
Regular Tax⧉
$62,000.00
Total Tax⧉
$72,082.00
Effective rate: 19.75%
AMT Calculation Waterfall
| Taxable Income | $300,000.00 |
| + SALT Addback | $15,000.00 |
| + ISO Bargain Element | $50,000.00 |
| + Other Preferences | $0.00 |
| = AMTI | $365,000.00 |
| – AMT Exemption | ($90,100.00) |
| = AMT Base | $274,900.00 |
| Tentative Minimum Tax (26%/28%) | $72,082.00 |
| – Regular Tax | ($62,000.00) |
| = AMT Owed | $10,082.00 |
Preference Item Impact
SALT: $15,000.00
ISO: $50,000.00
Estimate based on 2026 federal AMT parameters. This is a simplified Form 6251-style worksheet and does not model every AMT adjustment or credit carryforward rule.
Planning notes, formulas, and examples
About the Alternative Minimum Tax (AMT) Calculator
The Alternative Minimum Tax (AMT) Calculator estimates whether your tentative minimum tax may exceed your regular federal tax for the 2026 tax year. AMT is a parallel tax system that recalculates taxable income after adding back certain deductions or preference items, then applies a separate exemption and a two-rate structure.
Common AMT triggers include large SALT addbacks, incentive stock option exercises, and other preference items that are treated differently under Form 6251. This page is meant to help you estimate the size of the exposure before filing, not to replace a full AMT return preparation.
For 2026, the AMT exemption is $90,100 for single and head-of-household filers, $140,200 for married filing jointly, and $70,100 for married filing separately. The exemption begins phasing out at $500,000 for unmarried and MFS filers and $1,000,000 for joint returns.
When This Page Helps
AMT can catch high-income taxpayers by surprise, especially those exercising ISO stock options, claiming large SALT deductions, or earning income from private activity bonds. This calculator flags AMT exposure before filing so you can plan accordingly. Early detection gives you the opportunity to adjust your year-end tax strategy and potentially reduce or eliminate the additional liability.
How to Use the Inputs
- Select your filing status.
- Enter your taxable income (from Form 1040).
- Enter your regular tax amount.
- Add AMT preference items: SALT deduction, ISO spread, other adjustments.
- View your AMTI, tentative minimum tax, and AMT owed (if any).
- Compare your regular tax to the AMT calculation.
Formula used
AMTI = Taxable Income + AMT Preference Items (SALT, ISO spread, etc.)
AMT Exemption (2026): $90,100 single / HoH, $140,200 MFJ, $70,100 MFS
Exemption Phase-Out Start: $500,000 single / HoH / MFS, $1,000,000 MFJ
Exemption reduced by 25¢ per $1 over phase-out start
AMT Base = AMTI – Exemption
Tentative Minimum Tax = 26% on first $244,500 ($122,250 MFS) + 28% on excess
AMT Owed = Max(0, Tentative Minimum Tax – Regular Tax)Example Calculation
Result: AMTI: $365,000 | AMT owed: $10,082
Taxable income $300,000 + $15,000 SALT addback + $50,000 ISO spread = $365,000 AMTI. The 2026 single exemption is $90,100, so AMT base is $274,900. Tentative minimum tax is $244,500 × 26% + $30,400 × 28% = about $72,082. Compared with regular tax of $62,000, the estimated AMT owed is about $10,082.
Tips & Best Practices
- The #1 AMT trigger for individuals is exercising Incentive Stock Options (ISOs) — the spread is an AMT preference item.
- SALT deductions (state/local taxes) are added back for AMT — high-tax-state residents are more vulnerable.
- Interest on private activity bonds is taxable under AMT even though it's tax-free for regular tax.
- If you owe AMT due to timing items (like ISOs), you may get an AMT credit in future years.
- Consider spreading ISO exercises across multiple years to minimize AMT impact.
- Medical expenses deductible for regular tax may have different thresholds under AMT rules.
AMT vs Regular Tax System
The AMT runs alongside the regular income tax and you pay whichever calculation is higher. It broadens the income base by reversing selected deductions and preference items, then applies only two rates: 26% and 28%. The exemption cushions the calculation for many taxpayers, but that exemption shrinks as AMTI rises through the phaseout range.
ISO Exercises and AMT Planning
Incentive stock option exercises remain one of the most common reasons individual taxpayers run into AMT. The bargain element between the strike price and fair market value is not taxed as regular wage income on exercise, but it is an AMT preference item. That is why this page keeps the ISO spread separate from other adjustments.
Limits of a Simplified AMT Worksheet
Real Form 6251 preparation can include additional adjustments for depreciation, passive losses, private activity bond interest, net operating loss differences, and AMT credit carryforwards. Use this page to estimate exposure and compare scenarios, then confirm the final numbers with the actual IRS worksheets or a tax professional.
Sources & Methodology
Last updated:
Methodology
This page starts with taxable income and adds the AMT preference items collected on the form, such as SALT addback, ISO bargain element, and other adjustments, to estimate alternative minimum taxable income (AMTI). It then applies the 2026 AMT exemption and phaseout rules, computes tentative minimum tax at 26% and 28%, and compares that result with the regular tax entered by the user.
This is a simplified individual AMT worksheet, not a full Form 6251 engine. It does not model every AMT adjustment, every preference item, or the AMT credit carryforward calculation from Form 8801.
Sources
- Rev. Proc. 2025-32 (Internal Revenue Service) — 2026 inflation adjustments, including AMT exemptions, phaseout thresholds, and the 26%/28% breakpoint.
- Instructions for Form 6251 (Internal Revenue Service) — Official IRS instructions for the individual Alternative Minimum Tax worksheet.
Frequently Asked Questions
The AMT is a parallel tax system that limits certain deductions and adds back preference items to ensure high-income taxpayers pay at least a minimum amount of tax. It applies two rates (26% and 28%) to a broader income base. You owe AMT only when the tentative minimum tax exceeds your regular income tax.
Common preference items include: state and local tax (SALT) deductions, the bargain element from exercising incentive stock options (ISOs), tax-exempt interest from private activity bonds, accelerated depreciation differences, and certain passive activity losses. These items are added back to regular taxable income to calculate AMTI.
For 2026, the AMT exemption is $90,100 for single and head-of-household filers, $140,200 for married filing jointly, and $70,100 for married filing separately. The exemption begins phasing out at $500,000 for unmarried filers and $1,000,000 for joint returns.
Taxpayers most likely to owe AMT include those who exercise large amounts of ISOs, claim large SALT deductions, have significant private activity bond income, or have high income with many deductions. The risk is highest for income between $200,000 and $500,000.
Yes, if your AMT was caused by timing differences (like ISO exercises that create a temporary AMT adjustment), you can claim an AMT credit in future years when your regular tax exceeds the tentative minimum tax. This credit helps recover AMT paid on timing items.
The AMT exemption is reduced by 25 cents for every dollar of AMTI above the phaseout threshold. For 2026, that means complete phaseout at $680,200 for single or head-of-household filers, $640,200 for married filing separately, and $1,280,400 for married filing jointly.
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