Does Turbotax 2023-2024 calculate the AMT tax and have an AMT calculator?

[questionsforever]

I read the AMT will change in 2024, will Turbotax Canada support this new tax increase and will there be a calculator to adjust credits, etc.. to see how much the estimated tax might be under regular or amt method?

[TurboImpotLiseD]

A change would only apply to TurboTax software when and if it is implemented by the federal government. Here is a great article for your information: The Alternative Minimum Tax (AMT): How It Works and What You Need to Know

Thank you for choosing TurboTax

[Wisdom Hunter]

Does TurboTax 2023 Premier have an AMT calculator for the current AMT rules?

I ask because although I have used TurboTax for years, I have never had to pay AMT. But this year I may have to. 

[TurboImpotLiseD]

TurboTax will calculate taxes owed based on the information you enter. There isn't a AMT calculator per say within the program. If you choose to calculate and enter an AMT amount on your return, you need to calculate it yourself. Here's how:   CRA Minimum tax

Here are more instructions in the following article:  How do I calculate the AMT?

Thank you for choosing TurboTax

[dianajw]

The easiest place that I've found to see the AMT amount in TurboTax is through the Summary Bar on the left of the screen (select 'Summary' in the Turbotax ribbon).  And there you will find a button for the Detailed Tax summary.  That sheet includes the "minimum tax" for your return which I believe is the AMT amount.

I'm sure there are other ways to get to the Detailed Tax Summary but that seems like the easiest way.

[TurboImpotLiseD]

@dianajw  Thank you for your response.

Here are more explanations around AMT. The Alternative Minimum Tax is a separate tax calculation determined in parallel with an individual’s regular income tax calculations. The AMT takes out various tax preferential items that an individual may receive, which lowers his taxable income. Therefore, it is up to the taxpayer to calculate their own AMT.

Here is a link to CRA to help calculate AMT: Minimum tax

Thank you for choosing Turbotax

[dianajw]

Thank you TurboImportLiseD

Your reply implies that TurboTax calculations for the "Minimum Tax" is not the same thing as AMT.  I understand that previous years' AMT amounts may also impact the current year's Minimum Tax.  So it makes sense that Turbotax cannot guarantee the Minimum Tax on the Summary Tax sheet is correct.

But you could have said that.  It is useful to know.

TurboTax does a great job of pulling in rolling yearly amounts for certain line items (e.g. capital losses from previous years, RRSP contribution limits, etc).  Assuming that someone has been using Turbotax for 10 or more years, would their AMT history be carried forward year over year?

[TurboImpotLiseD]

TurboTax does not automatically carry forward AMT. AMT can be carried forward, however it is the responsibility of the taxpayer to enter the amounts, because from year to year, these amounts can change with the income sources.

Here is where to find the various options for AMT in TurboTax download:

Thank you for your question.