26 USC 53 - Credit for prior year minimum tax liability

U.S Code last checked for updates: Sep 21, 2026

§ 53.

Credit for prior year minimum tax liability

(a)

Allowance of credit

(b)

Minimum tax credit

For purposes of subsection (a), the minimum tax credit for any taxable year is the excess (if any) of—

(1)

the adjusted net minimum tax imposed for all prior taxable years beginning after 1986, over

(2)

the amount allowable as a credit under subsection (a) for such prior taxable years.

(c)

Limitation

The credit allowable under subsection (a) for any taxable year shall not exceed the excess (if any) of—

(1)

the regular tax liability of the taxpayer for such taxable year reduced by the sum of the credits allowable under subparts A, B, D, E, and F of this part, over

(2)

the tentative minimum tax for the taxable year.

(d)

Definitions

For purposes of this section—

(1)

Net minimum tax

(A)

In general

(B)

Credit not allowed for exclusion preferences

(i)

Adjusted net minimum tax

The adjusted net minimum tax for any taxable year is—

(I)

the amount of the net minimum tax for such taxable year, reduced by

(II)

the amount which would be the net minimum tax for such taxable year if the only adjustments and items of tax preference taken into account were those specified in clause (ii).

(ii)

Specified items

The following are specified in this clause—

(I)

the adjustments provided for in subsection (b)(1) of section 56, and

(II)

the items of tax preference described in paragraphs (1), (5), and (7) of section 57(a).

(iii)

Credit allowable for exclusion preferences of corporations

In the case of a corporation—

(I)

the preceding provisions of this subparagraph shall not apply, and

(II)

the adjusted net minimum tax for any taxable year is the amount of the net minimum tax for such year.

(2)

Tentative minimum tax

(e)

Application to applicable corporations

In the case of a corporation—

(1)

subsection (b)(1) shall be applied by substituting “the net minimum tax for all prior taxable years beginning after 2022” for “the adjusted net minimum tax imposed for all prior taxable years beginning after 1986”, and

(2)

the amount determined under subsection (c)(1) shall be increased by the amount of tax imposed under section 59A for the taxable year.

(Added Pub. L. 99–514, title VII, § 701(b), Oct. 22, 1986, 100 Stat. 2339; amended Pub. L. 100–647, title I, § 1007(g)(4), title VI, § 6304(a), Nov. 10, 1988, 102 Stat. 3435, 3756; Pub. L. 101–239, title VII, §§ 7612(a)(1), (2), (b)(1), 7811(d)(2), Dec. 19, 1989, 103 Stat. 2373, 2374, 2408; Pub. L. 102–486, title XIX, § 1913(b)(2)(C), Oct. 24, 1992, 106 Stat. 3020; Pub. L. 103–66, title XIII, §§ 13113(b)(2), 13171(c), Aug. 10, 1993, 107 Stat. 429, 455; Pub. L. 104–188, title I, §§ 1205(d)(5), 1704(j)(1), Aug. 20, 1996, 110 Stat. 1776, 1881; Pub. L. 108–357, title IV, § 421(a)(2), Oct. 22, 2004, 118 Stat. 1514; Pub. L. 109–58, title XIII, § 1322(a)(3)(G), Aug. 8, 2005, 119 Stat. 1012;

cite as: 26 USC 53