Incentive Stock Option AMT Preference
You need to enter an adjustment here if all of the following are true:

• You exercised an incentive stock option in 2002.

• You continued to hold the stock which you received from the option through the end of 2002.

• The terms of your incentive stock option grant allow you to sell or transfer the stock without any restrictions.

• Your ownership rights in the stock are fully vested.

To figure out the amount of your AMT ISO adjustment, start with the fair market value of the stock at the time you exercised the options, and subtract the amount you paid to exercise the options. The difference is the adjustment to enter into this calculator. For example, if you exercised 100 options to purchase your employer's stock at a time when the stock was worth $100 per share, and you had to pay $10 a share to exercise the option, then your AMT ISO adjustment is $9000 (100 shares times $100 per share, minus 100 shares times $10 per share). Enter the ISO adjustment as a positive number.