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New Member
posted Oct 30, 2019 9:53:11 AM

1. I am on pension but my income is much lower that my wife (50k). How is it possible for me split pension income with her and pay lower tax overall? .

with lower pension income and lower tax bracket than my wife, it does not seem logical that software shows lower overall tax to be paid. 

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1 Best answer
New Member
Oct 30, 2019 9:53:12 AM

It is generally not advisable to transfer pension income from the lower tax bracket to a higher tax bracket. To verify this applies in your situation,select the "Split Pension with my Spouse" option under the "Review" tab, and choose "Pension Splitting Optimizer". The software will run an algorithm to determine the best option in your circumstances. Also be aware that you need the permission of your spouse to add income on their tax return. Turbo Tax will analyze fully all cross considerations with your spouse so run the analyzer after all other information has be included with the tax returns.

1 Replies
New Member
Oct 30, 2019 9:53:12 AM

It is generally not advisable to transfer pension income from the lower tax bracket to a higher tax bracket. To verify this applies in your situation,select the "Split Pension with my Spouse" option under the "Review" tab, and choose "Pension Splitting Optimizer". The software will run an algorithm to determine the best option in your circumstances. Also be aware that you need the permission of your spouse to add income on their tax return. Turbo Tax will analyze fully all cross considerations with your spouse so run the analyzer after all other information has be included with the tax returns.