A Registered Retirement income fund (commonly referred to as a RRIF) is an income fund created upon a transfer funds from an individual’s Registered Retirement Savings Plan (RRSP), this fund has required annual withdrawals that are designed to use the equity built up in an individual’s RRSP’s to provide a ...
Read MoreStarting in 2014 the Canada Revenue Agency (CRA) has changed the way that non-eligible dividends are taxed. This change will effectively increase the tax rate for non-eligible dividends. This will cause business owners to re-evaluate the way in which they draw income from their business (dividends vs. Salary). Let’s look ...
Read MoreFar too often I have had new clients come to me after having done their own taxes, making a mistake, and getting penalized by the Canada Revenue Agency (CRA). The CRA have the ability levy significant penalties if tax returns are not done correctly, usually when income is under reported. If ...
Read MoreOne of the best tax saving opportunities for family owned and operated businesses over the years has been income splitting. This is the practice of splitting income amongst family members to use up all of each family member basic personal tax credit and low tax rates at the lower income ...
Read MoreOne of the biggest considerations for small businesses is whether to incorporate or to operate as a proprietorship. What’s the difference? The main difference between corporations and proprietorships is that corporations become their own legal entity while proprietorships are operated under the name of the proprietor. From a tax perspective a corporation ...
Read MoreStarting in 2009 first-time home buyers’ are eligible to claim a $5,000 tax credit in the year that their home is purchased. Many people are not aware of this, and I have even encountered people who do their own taxes and have missed out on the credit because they were not ...
Read MoreStarting a new business can be an overwhelming process; there are so many considerations which makes it easy to overlook something. Not only is it important to not overlook anything, it is important to do things in the correct order. In my time assisting clients go through this process I ...
Read MoreFor those of you who did not manage to file your personal tax return on time, you may be wondering what the consequences are for failing to file the return as well as failing to pay the balance owing on the return. The consequences come in the form of Interest ...
Read MoreThe Lifetime Capital Gains Exemption is one of the biggest tax breaks or incentives offered by the Canadian Revenue Agency (CRA), most people are not aware of it and it is seldom used. This tax break offers Canadians an exemption to paying tax on capital gains of up to$750,000 (was ...
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