The Alternative Minimum Tax is now implemented (federally and for all provinces) and we make it available for MoneyReady App subscribed users only.
The AMT is a separate tax calculation done to make sure that wealthy Canadians that have little or no regular tax to pay due to claimed tax deductions and credits, still have to pay a minimum tax. This has always applied rarely, and it will be even more rarely applicable with the recent changes to the AMT calculation itself, and the recently announced changes to the capital-gains inclusion rate.
Because it applies so rarely, you can set whether to have it calculated it or not in your PREFERENCES. Most of you can leave the feature off, as it will slow down your TIME MACHINE runs. Just turn it on if you are running a scenario where you think it may apply, or if you have made AMT payments in the past.
It will always be calculated for Advisor clients.
If you do choose to have it calculated (and have a valid subscription), you will be able to enter any AMT tax paid in the last 7 years in the tax input screens before running the TIME MACHINE. The TIME MACHINE also calculates any refund of the previous year's AMT payments.
The TIME MACHINE will show a Warning if the tax is applied and the detailed year reports will show you any AMT paid or any AMT carryover applied.
Important change for everyone:
To accommodate the AMT calculation we now need to ask you for the current year's capital losses and the previous year's carried-forward capital losses separately in the tax input screens.
Please treat all tax calculations in the MoneyReady App as approximate as we do not consider everything.
Let me know if you have any questions or issues.