I already paid foreign tax and thought that solved everything. Why am I still being told to look at AMT and an AMT foreign tax credit?
I am a U.S. person living in France and most of my tax planning has centered on the ordinary foreign tax credit. I assumed that once the foreign tax credit was large enough, the U.S. side was basically done. My preparer recently mentioned AMT and said there is also an AMT foreign tax credit concept, which made the whole situation feel more complicated.
I do not need a full AMT computation in this thread. I want to know why foreign tax does not necessarily end the conversation and when the AMT version of the foreign tax credit becomes relevant.
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