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rickmuise
Returning Member

transferring age amounts

At the end of the review process and I want to balance the "spouse" who claims medical expenses when one of us is right at the edge of owing taxes or not. I expect that toggling the medical amounts would trugger a recalculation of the deductions that could be transferred between spouses.  Both being seniors, I would expect that the age amount (the special deduction for old farts) would be transferred if advantageous. It is not. The Turbotax expert agreed that it is not.  I think this is a bug, but I don't know how to actually submit a bug report

1 Reply
JoanneLH
Employee Tax Expert

transferring age amounts

The Age Amount will transfer between spouses if it is beneficial to, however, it is based on taxable income, rather than transferring medical expenses.

Turbotax will automatically transfer this tax credit, and possibly others if they apply to your circumstances, and report the transferred amount to line 32600 of the recipient spouse.  When you complete and pay for your return, you can view amounts transferred in more detail on the Schedule 2 of the recipient spouse found in the pdf copy of your return.

Medical expenses are usually claimed on the lower income earner, because 3% of net income is subtracted from the total expenses, with the net amount used to calculate the tax credit; however, on occassion it may be better to move them to the higher income earner, particularly if the lower earner already has sufficient tax credits.
@rickmuise