There are tax savings strategies like medical, donations and childcare that everyone tends to know about. But what about those tax deductions that are less common and very useful? Below are a few tax credits that you might find useful to keep in mind as you make your way through 2023! 1. Educator School Supply Tax Credit If you were an eligible educator, you may be able to deduct $1,000 of the cost of eligible supplies you bought. Do you Qualify? You are considered an eligible educator if, at any time during the 2022 tax year, both of the following conditions…

Canada Revenue Agency (CRA) has recently updated its guidance on a number of several employment benefits, which turns out to be good news for employers and employees. One of the changes included is a new policy on fits and awards. CRA has had a long-standing administrative policy that the first $500 of annual gifts and awards would be considered non-taxable benefit to the employee. This policy did not apply to cash or near-cash gifts. Digital currencies are considered by the CRA to be near-cash and historically gift cards were considered cash or near-cash. In the past we have advised that…

When preparing your personal income tax return for 2022, there is a new tax that you should be aware of that may apply to you. The Underused Housing Tax is an annual 1% tax on the ownership of vacant or underused housing in Canada that took effect on January 1, 2022. The tax usually applies to non-resident, non-Canadian owners. However, in some situations, it applies to Canadian owners. Excluded Owner You are considered an excluded owner of a residential property in Canada if you have no obligations or liabilities under the Underused Housing Tax Act. An excluded owner includes: Affected…

With personal tax season fast approaching, we often get asked the question – “What should I be claiming on my income taxes that I don’t know about?” The answer is not necessarily the same for everyone. It depends on their personal situation and what deductions, or credits may be of benefit. There are certain tax savings that some people don’t know about or forget to claim. So much so, that we decided to make a Top Ten list: 1/ Disability Tax Credit The Disability Tax Credit (DTC) is a non-refundable tax credit that helps people with impairments, or their supporting…

If you own a small business in Canada, there are several important deadlines from Canada Revenue Agency (CRA) that you should be aware of. Failure to meet these requirements can result in the penalties and interest assessed by CRA.  Payroll Canada Pension Plan (CPP), Employer Insurance (EI) and Income Tax withholdings along with the appropriate employer portion of CPP and EI are due on the 15th of the month following the date which the wages are paid. T4, T4A and T5 slips are reported on a Calendar year basis. These filings are due along with the related summary are due…

With the calendar turning to 2023, it is a good time to consider tax planning. One of the most interest opportunities for tax planning is Immediate Expensing of Capital Property. The 2021 Federal Budget introduced new rules with respect on immediate expensing of capital assets for Canadian Controlled Private Corporations (CCPCs). This is a temporary measure that is available on certain classes of assets of eligible property that is normally subject to the Capital Cost Allowance (CCA) rules. Some of the excluded assets are buildings, goodwill, and telephone systems. There is a maximum 1.5-million-dollar limit per year, which would have…

It’s Tax Season, are you ready? As the days are getting longer and we look forward to the spring equinox, it’s a sure sign that a new season is upon us. No, it does not mean spring – it’s tax season. Are you ready? Many people dread this time of year, but it doesn’t have to be a chore. Here’s a few helpful hints that will make things easier, whether you file your own taxes or use a professional. Get organized Most tax slips have to be issued by the end of February, including T4 slips for employment income as…