Changes to the CPP for 2012

Changes to the Canada Pension Plan in 2012 came as a nasty surprise for some Canadians. The previous rule was that once you began receiving your CPP retirement pension, you were not longer required to contribute to the CPP. Now, that’s a different story. Starting January 1, 2012 all employees (and self-employed taxpayers) will be […]

2011 Year-End Tax Planning Tips

As we approach the end of 2011, it’s a good time to review your financial picture and explore any year-end tax-saving opportunities. Bear in mind that after December 31 precious little could be done to reduce your taxes and save money. So here is a short list of year-end tax-planning ideas that can be implemented […]

Tax changes in 2011

Budget 2011 Below is the review of some of the important personal and business tax changes with a direct bearing on the finances of Canadians: Children’s Arts Tax Credit Parents can claim a 15% non-refundable credit of up to $500 on artistic, cultural, recreational, and developmental activities in which children under the age of 16 […]

CRA Targets eBay Power Sellers. Who Is Next?

It is no wonder the Canada Revenue Agency is looking around for some cash…our generous Government gave billions to big guys from auto and financial industry, and will try to mend its fiscal holes by squeezing Canadian taxpayers. The CRA is stepping up its efforts to track down eBay merchants who haven’t paid taxes on […]

Tax Tips on Child Care Expenses

You may claim child-care expenses to reduce your tax if you or your spouse pays to have someone look after your children so that you can: earn income from employment or self-employment; attend full-time or part-time, in an educational program offered by a secondary school, college, university, or other designated educational institution; or carry on […]

Q&A for the Home Renovation Tax Credit (HRTC)

1. What is the Home Renovation Tax Credit (HRTC)? The proposed HRTC is a non-refundable tax credit for eligible expenses incurred for work performed or goods acquired in respect of an eligible dwelling. 2. What is meant by eligible dwelling? An eligible dwelling of an individual is a housing unit located in Canada. All the […]

TFSA Account

Ottawa, October 16, 2009 The Honourable Jim Flaherty, Minister of Finance, today proposed amendments to the Income Tax Act to strengthen the rules applicable to Tax-Free Savings Accounts (TFSAs). The TFSA was introduced in Budget 2008. Since January 1, 2009, Canadian residents who are 18 years of age or older are eligible to contribute up […]

Deducting Your Home Office Expenses

Every home-based entrepreneur can and should deduct a portion of home expenses. In order to be eligible to do that, you must meet one of the following criteria: Your home must be your principal place of business, OR You use a designated area in your home for the sole purpose of earning business income AND […]

List of Deductions Available to Business Owners

• Mortgage interest or rent (partial or in whole) • Gas, electric, water and sewer • Cleaning crews to clean and vacuum offices and empty the trash • Computers, copiers, fax machines and telephones, other heavy equipment (amortization) • Small tools • Advertising • Paper, pens and postage • Bank fees on business accounts • […]

I Have Been Selected for Audit – Now What?

Auditing allows the Canadian Revenue Agency (“CRA”) to monitor and inspect GST/HST and income tax returns, customs import documents, and payroll records. CRA has wide powers of inquiry and investigation under the Canadian Income Tax Act, including the power to demand records and information. A person who refuses to comply with the requirement to provide […]