Tax Planner AMT calculation seems incorrect


The Quicken Tax Planner AMT Calculation does not take into account significant income from Capital Gains. According to IRS Form 6251, if there are significant Capital Gains the AMT Tax calculation should use the Maximum Capital Gains tax rate. It appears that Tax Planner just uses 26% and 28% regardless of the income source which is incorrect. Has anybody else noticed this. I have another Tax Planner spreadsheet from that confirms this to be true. Kinda hard to plan for taxes if Tax Planner is incorrect.



  • markus1957
    markus1957 SuperUser, Windows Beta Beta
    edited July 6

    Without a specific example presented, it is hard to reproduce the issue.

    In R57.25 I set up a simple hypothetical in the Tax Planner Scenario section to test a million-dollar Roth Conversion and a $100K long-term capital gain. This situation triggers the 20% max capital gains rate. I compared the difference in the tax computed using zero cap gains and $100K cap gains. For both the regular tax and the AMT, the tax associated with cap gains was computed at the 20% max capital gains rate as expected.

    Please provide an example where you do not see the max capital gains rate being applied when it should be.