DrYeet wrote:
So...
How much Free space is being reported by Disk Utility?
When running First Aid make sure to run First Aid on the hidden Container. Within Disk Utility you may need to click "View" and select "Show All Devices" before the hidden Container appears on the left pane of Disk Utility. Even if First Aid says everything is "Ok", click "Show Details" and scroll back through the report to see if there ar any unfixed errors listed.
Also run First Aid on the physical drive which should be the top most item usually identified by the make & model of the drive...something like "Apple SSD S0256....".
You can try checking the health of the SSD by running DriveDx and posting the complete text report here using the "Additional Text" icon which looks like a piece of paper.
If the error you received did not mention any other details about why it could not partition the drive, then the only other thing I can suggest is to perform a clean install of macOS which involves erasing the whole physical before reinstalling macOS and trying Bootcamp Assistant again. Of course erasing the drive destroys all data on it, so make sure to have a good backup (you should always have a good backup anyway).
A quick search reveals this Apple article about what to do if BootCamp Assistant is unable to partition the drive. The only additional item this article mentions is to temporarily turn off Time Machine...it only mentions it for Mojave & High Sierra, but it couldn't hurt to try with Big Sur or Ventura.
If Boot Camp Assistant says that your disk could not be partitioned - Apple Support
I also found a reference to running a file system check using the command line using a special option while booted into Single User Mode, but I don't believe Single User Mode exists with a 2020 Mac with T2 chip. You should be able to do so while booted into Recovery Mode/Internet Recovery Mode, but I don't recall how to target the internal drive for this method and whether the volumes must first be unmounted. If you are familiar with the command line, then this may be an option assuming First Aid had "warnings" about over allocations. A clean install would do the same thing since the drive would be erased creating a clean new file system.
If you have Filevault enabled, perhaps you should disable Filevault. If you have a firmware password lock enabled, then try disabling it as well. These are not defaults so if they are enabled, then you should know how to disable them.
Unless another contributor has any other better ideas, this is all I can suggest to you. Unfortunately Apple is not very good at providing error messages with useful details. You can also try contact Apple support directly to see if they have any other advice.