A heads up to people with clients in AB. Within the past day or so TaxCycle updated the optimization calculation to factor in the updated donation credit rules in AB. Previously it was more beneficial to put all of the donations on one spouse’s return as there was less impact on the first $200. Now it is the opposite in AB. Due to the increase in AB donation tax credit from 10 to 60% on the first $200 it is more beneficial to put at least $200 on each spouse’s return. Only within the past day or so was this factored into TaxCycle’s optimization calculation. Just so you’re aware.
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