ISO Disqualifying Disposition / AMT Impact?

[bbrownatl]

I have a client who exercised stock options on 1/3/06 and sold the same day. Accordingly, the gain of $14K was included in Box 1 of his W-2. I was thinking that there is no AMT adjustment necessary since this was a disqualifying disposition. Thus, $0 on line 13 of Form 6251, AMT-Individuals. However, the correspondence received from the employer has a schedule which indicates that for AMT the individual has $0 for W2 and $14K as "Adjustment for AMT Calculation." Am I missing something here? My thought is no AMT adjustment for the $14K gain.

Thanks for your insight.

[Kram BergGold]

My thoughts

Your understanding of the law is correct. Either your client has mislead you and it was not a same day sale or the compnay made an error. I would call the company.