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chiKeka

Alberta Tax Agent

by chiKeka

SBD Business Limit Calculator

calculate_business_limit

Calculate the adjusted Small Business Deduction business limit by applying taxable capital and passive income clawbacks.

Instructions

Calculate the adjusted Small Business Deduction business limit after taxable capital and passive income clawbacks.

Input Schema

TableJSON Schema
NameRequiredDescriptionDefault
passive_incomeYesPrior year adjusted aggregate investment income ($)
taxable_capitalYesTaxable capital employed in Canada (associated group total) ($)
associated_group_limitNoBase business limit before reductions ($)
Behavior3/5

Does the description disclose side effects, auth requirements, rate limits, or destructive behavior?

No annotations are provided, so the description itself must convey behavior. It clearly indicates a calculation (read-only) operation and identifies the two relevant clawback factors, but it does not disclose assumptions, edge cases, or what the returned value represents beyond the name.

Agents need to know what a tool does to the world before calling it. Descriptions should go beyond structured annotations to explain consequences.

Conciseness5/5

Is the description appropriately sized, front-loaded, and free of redundancy?

The description is a single concise sentence that states the verb, resource, and key factors with no filler or redundant information.

Shorter descriptions cost fewer tokens and are easier for agents to parse. Every sentence should earn its place.

Completeness4/5

Given the tool's complexity, does the description cover enough for an agent to succeed on first attempt?

For a straightforward calculator with three well-documented parameters and no output schema, the description adequately covers the tool's purpose and primary inputs. It could be more complete by explicitly stating the return value (the calculated limit amount), but that is largely inferable from the title and description.

Complex tools with many parameters or behaviors need more documentation. Simple tools need less. This dimension scales expectations accordingly.

Parameters3/5

Does the description clarify parameter syntax, constraints, interactions, or defaults beyond what the schema provides?

The input schema covers all parameters at 100%, including descriptions for passive_income, taxable_capital, and associated_group_limit. The description adds contextual meaning by linking the parameters to clawbacks, but does not add new details beyond the schema.

Input schemas describe structure but not intent. Descriptions should explain non-obvious parameter relationships and valid value ranges.

Purpose5/5

Does the description clearly state what the tool does and how it differs from similar tools?

The description clearly names the specific resource (the adjusted Small Business Deduction business limit) and the calculation inputs (taxable capital and passive income clawbacks). This distinguishes it from broader corporate tax or instalment calculators among the siblings.

Agents choose between tools based on descriptions. A clear purpose with a specific verb and resource helps agents select the right tool.

Usage Guidelines3/5

Does the description explain when to use this tool, when not to, or what alternatives exist?

The description implies when to use the tool (when calculating the SBD limit after clawbacks) but provides no explicit when-not-to-use or alternate tool references. It does not mention prerequisites like associated group capital, leaving some room for interpretation.

Agents often have multiple tools that could apply. Explicit usage guidance like "use X instead of Y when Z" prevents misuse.

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