RESOLVED: T2SCH572 Part 2 Lines 121 and 126 Not Limited by Line 2C

We are aware of an issue on T2 Schedule 572 where TaxCycle is not limiting the total of lines 121 and 126 by the maximum expenditure limit on line 2C.

When a corporation acquires eligible property in excess of $20 million in Part 2, the total of lines 121 and 126 must not exceed the limit on line 2C. However, TaxCycle is not limiting the calculation of this amount as expected. 

Workaround

Manually override the amounts on lines 121 and 126 to limit the total expenditure to the amount on line 2C and calculate the correct maximum investment tax credit. 

Resolution

We resolved this issue in the latest TaxCycle update.