The Required Adjustment for AMT Purposes for Pollution Control Facilities

question 113

True/False

The required adjustment for AMT purposes for pollution control facilities placed in service in 2012 is equal to the difference between the amortization deduction allowed for regular income tax purposes and the depreciation deduction computed under ADS.

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Definitions:

Responsibility Centers

These are parts or segments of a business for which individual managers are responsible, usually in terms of costs, revenues, or investment.

Cost Center

A business unit or department within an organization that does not directly generate revenue but incurs costs, used for budgeting and cost control.

Profit Center

A segment or division within a company that is responsible for generating its own revenues and profits, and is evaluated based on its profitability.

Investment Center

A business unit or segment whose manager has control over cost, revenue, and investments in assets, and is evaluated on profitability and return on investment.