Final answer:
The differences in AMT computations for C Corporations include tax rate variations and the treatment of deductions and credits.
Step-by-step explanation:
The question is about the differences in Alternative Minimum Tax (AMT) computations for C Corporations. The AMT is an alternative tax system that applies to corporations and individuals with high incomes. For C Corporations, the AMT calculations differ from regular tax computations as they involve certain adjustments and preferences.
One key difference is the tax rates. The regular corporate tax rates may be different from the AMT rates, depending on the specific income ranges. For example, the AMT may have a flat rate of 34% on incomes from $335,000 to $10,000,000, gradually increasing to 35% on incomes above $18,333,333.
Another difference is the treatment of certain deductions and credits. Under the AMT, some deductions and credits may be disallowed or limited, leading to a higher taxable income compared to regular tax computations.