Alternative Minimum Tax—Corporations OMB No. 1545-0175

(including environmental tax) Form 4626

© See separate instructions. Department of the Treasury

Internal Revenue Service © Attach to the corporation’s tax return.

Name Employer identification number

1

Taxable income or (loss) before net operating loss deduction. (Important: See instructions if the

corporation is subject to the environmental tax.)

1

2 Adjustments and preferences:

a Depreciation of post-1986 property 2a

b Amortization of certified pollution control facilities 2b

c Amortization of mining exploration and development costs 2c

2d d Amortization of circulation expenditures (personal holding companies only)

e Adjusted gain or loss 2e

2f f Long-term contracts

g Installment sales 2g

h Merchant marine capital construction funds 2h

2i

i Section 833(b) deduction (Blue Cross, Blue Shield, and similar type organizations

only)

2j j Tax shelter farm activities (personal service corporations only)

k Passive activities (closely held corporations and personal service corporations only) 2k

Loss limitations 2l l

Other adjustments

m Depletion 2m

n Tax-exempt interest from specified private activity bonds 2n

o Charitable contributions 2o

p Intangible drilling costs 2p

q Reserves for losses on bad debts of financial institutions 2q

Accelerated depreciation of real property (pre-1987) 2r r

s Accelerated depreciation of leased personal property (pre-1987) (personal

holding companies only) 2s

u Combine lines 2a through 2t 2u

3 Preadjustment alternative minimum taxable income (AMTI). Combine lines 1 and 2u 3

4 Adjusted current earnings (ACE) adjustment:

4e

5

Combine lines 3 and 4e. If zero or less, stop here; the corporation does not owe alternative minimum

tax

5

6 Alternative tax net operating loss deduction (see instructions) 6

7 Alternative minimum taxable income. Subtract line 6 from line 5

For Paperwork Reduction Act Notice, see separate instructions. Cat. No. 12955I Form 4626 (1994)

7

Enter the corporation’s ACE from line 10 of the worksheet on page 8 of the instructions

Subtract line 3 from line 4a. If line 3 exceeds line 4a, enter the difference as a

negative amount (see instructions for examples)

Enter the excess, if any, of the corporation’s total increases in AMTI from prior

year ACE adjustments over its total reductions in AMTI from prior year ACE

adjustments (see instructions). Note: You must enter an amount on line 4d (even

if line 4b is positive) 

● If you entered a positive number or zero on line 4b, enter the amount from line 4c here as a

positive amount.

● If you entered a negative number on line 4b, enter the smaller of line 4c or line 4d here as a

negative amount.

4a

4b

4d

a

b

d

e

% ACE adjustment:

c Multiply line 4b by 75% (.75). Enter the result as a positive amount 4c

t 2t
Exemption phase-out computation (if line 8 is $310,000 or more, skip lines 9a and 9b and enter -0-

on line 9c):

9a

Subtract $150,000 from line 8 (if you are completing this line for a member of a

controlled group, see instructions). If zero or less, enter -0-

a

b 9b

c

Multiply line 9a by 25% (.25)

9c

Exemption. Subtract line 9b from $40,000 (if you are completing this line for a member of a controlled

group, see instructions). If zero or less, enter -0-

8

Subtract line 9c from line 8. If zero or less, enter -0-

8

Multiply line 10 by 20% (.20)

10 10

Alternative minimum tax foreign tax credit. See instructions for limitations

11 11

Tentative minimum tax. Subtract line 12 from line 11

12 12

Regular tax liability before all credits except the foreign tax credit and possessions tax credit

13

14

Alternative minimum tax. Subtract line 14 from line 13. Enter the result on the appropriate line of

the corporation’s income tax return (e.g., Form 1120, Schedule J, line 9a). If zero or less, enter -0-

13

Environmental tax. Subtract $2 million from line 5 (figured without the corporation’s environmental

tax deduction). Multiply the excess, if any, by 0.12% (.0012). Enter the result here and on the

appropriate line of the corporation’s income tax return (e.g., Form 1120, Schedule J, line 9b). If you

are completing this line for a member of a controlled group, see the instructions

15

14

16

15

Form 4626 (1994) Page 2

Enter the amount from line 7 (alternative minimum taxable income)

16

9

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