Form 8801 - Credit For Prior Year Minimum Tax Individuals Estates Trusts

Federal Form 8801, "Credit for Prior Year Minimum Tax - Individuals, Estates, and Trusts", is used for the following purposes:

1. Claiming a credit for prior year minimum tax: The form is used to claim a credit for alternative minimum tax (AMT) paid in prior years.
2. Figuring the minimum tax credit: The form is used to calculate the minimum tax credit, which is the amount of AMT paid in prior years that can be used to reduce regular tax liability in the current year.
3. Carrying forward unused minimum tax credit: If the minimum tax credit exceeds the regular tax liability in the current year, the excess credit can be carried forward indefinitely to reduce regular tax liability in future years.
4. Reporting minimum tax credit: The form is used to report the minimum tax credit claimed on the taxpayer's current year tax return.

In general, Form 8801 is used by individuals, estates, and trusts that have paid AMT in prior years and want to claim a credit for that tax in the current year.