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If you have incentive stock options (ISOs), understanding the alternative minimum tax (AMT) is essential. Although it may seem daunting, this tutorial will clarify AMT's purpose, its relevance to ISOs, planning strategies, and the AMT credit. The discussion begins with the basics of ISOs and their taxation, advising viewers to watch a previous video for foundational knowledge. The focus is on the exercise of options and the "bargain element." The speaker will provide an example to illustrate how AMT works in relation to ISOs, emphasizing key concepts and practical implications for individuals holding ISOs.