AMT credit

[mooretax]

Taxpayer bought and held his ISO options in 2013. He filed form 6251 with 2013 tax return. He did not have to pay AMT tax because his regular tax is higher than AMT tax.
He does not have to pay AMT tax in 2014. He does not sell his ISO option. Can he claim the 2013 ATM credit on his 2014 tax return?

[DaveinTexas]

No Credit

Taxpayer bought and held his ISO options in 2013. He filed form 6251 with 2013 tax return. He did not have to pay AMT tax because his regular tax is higher than AMT tax.
He does not have to pay AMT tax in 2014. He does not sell his ISO option. Can he claim the 2013 ATM credit on his 2014 tax return?

The credit shouldn't exist, does it? My guess is there is no "credit" to carryover to 2014 or any subsequent years if the ISO didn't trigger AMT during the year of the exercise and hold (2013). No AMT tax, no credit for no AMT tax incurred.

BUT, you will want to track his AMT basis for the shares because most often when the shares are sold, the AMT gain is less than the regular Federal gain. The difference is a negative adjustment to AMT (which is a good thing).