She has no itemized deductions.

Alice thus must calculate income taxes twice:

Ordinary taxation

Alice calculates $15,246 in ordinary federal income taxes on $100,000: $100,000 - $12,200 standard deduction = $87,800 taxable income, at ordinary rates of 10%, 12%, 22%, 24%, would pay $15,246.50 in taxes.

Alternative minimum taxation

# Alice takes her $100,000 ordinary income
# Adds all AMT adjustments and exclusions. Here, she has $80,000 of incentive stock option bargain element which

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