Definition of "Tax preference item"

Candice Williams real estate agent

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Candice Williamselite badge icon

Watson Realty Corp.

Item falling under Section 57 of the Internal Revenue Code that may result in the imposition of the alternative minimum tax (AMT). These items of otherwise exempt income or deductions or of special tax benefit were targeted to ensure that taxpayers who benefit should pay the minimum amount of tax. An example is contributions of appreciated property.

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