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Farr is single, has no dependents, and does not itemize her deductions. She reports the following items on her $2021$ tax return: b$.$ Compute Farr's AMTI, AMT base taxable income $($before standard deduction$)$ and AMT $2021.$

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Computation of AMTI and AMT Base

Taxable income $($before standard deduction$)$

$$233,550$

Net AMT adjustments and tax preferences

Equals: AMTI

exemption amount

AMT base

AMT computation

Tentative minimum tax

Less: tax on regular taxable income

AMT $\backslash$table$[[,,$Phaseout$],[$Status$,$Exemption,Begins at$,$Ends at$],[$Married$,$ joint,$$114,600,$$$1,047,200,$$$1,505,600],[$Single or head of household,$73,600,523,600,818,000],[$Married$,$ separate,$57,300,523,600,752,800]]$

a$.$ Determine Farr's AMT adjustments and preferences for $2021$ by classifying each of the following as a "Tax preference item", an "AMT

adjustment", or "Neither".

Excess of the fair market value of the stock over the exercise price of

AMT adjustment

an incentive stock option

MACRS depreciation on shopping mall building acquired in $2016$

Percentage depletion in excess of property's adjusted basis

Standard deduction

Tax preference item

AMT adjustment

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