Proposed Tax Change - Alternative Minimum Tax

Adjustments to the Alternative Minimum Tax (AMT), as announced in the Federal Budget, stand to impact deductions on charitable donations of appreciated securities.

Amendments include significant changes to how capital gains are treated in the AMT calculation. Also, while the exemption level is likely to increase, so too is the AMT tax rate.

The legislation threatens to hinder private giving at a time when charities like ours need it most. Within and around the sector, numerous organizations have alerted the Prime Minister, Deputy Prime Minister and Minister of Finance to our shared concerns.

For information, you may wish to read:

 The amendments to AMT are complex and calculated based on an individual’s specific circumstances. Changes are scheduled to take effect on January 1, 2024, meaning there is time to plan accordingly with your clients.