AICPA Requests Clarification on Corporate AMT Form 4626, Part V

The American Institute of CPAs has submitted a request to the Department of the Treasury and the Internal Revenue Service (IRS) to clarify the instructions of Form 4626, Alternative Minimum Tax—Corporations, to allow corporations already identified as “applicable corporations” to skip Part V of the form.

The current filing requirement to complete Part V represents a substantial compliance and administrative burden for taxpayers, and the information included in Part V does not appear to provide commensurate value to the IRS with respect to a corporation that has already determined it is an applicable corporation for purposes of the Corporate Alternative Minimum Tax (CAMT).

The AICPA is recommending that IRS update the instructions to Form 4626, Part V to indicate that, consistent with Part I of the Form 4626, Applicable Corporation Determination, Part V is only required for taxpayers that are not an applicable corporation. The clarification would ensure that corporations that have already determined themselves to be an “applicable corporation” for purposes of the CAMT may skip Form 4626, Part V.