November 2025 Poll
Do you believe the November 4 Federal Budget addressed the key financial issues your clients need to see from their Finance Department and the CRA?Financial and insurance advisors, lawyers, accountants, bookkeepers, tax practitioners and gift planners…
Financial and insurance advisors, lawyers, accountants, bookkeepers, tax practitioners and gift planners…
Good News: Canadians’ Debt Ratio Drops and Savings Rates Increase
According to a September 11 report from Stats Canada, households increased holdings of financial assets and reduced non-mortgage and consumer debt during the second quarter this year. The household debt service ratio, which is the total obligated payments of principal and interest on credit market debt over household disposable income, had the largest decline on record. It dropped from 14.54% to 12.40%. Incredibly, there was only $1.58% of credit market debt for every dollar of household disposable income. But, is the good news temporary?
The End of 2019 Tax Filing is in Sight; So Are Tax Liabilities
The extended September 30 filing deadline hasn’t arrived yet. But, according to the most recent processing statistics from the CRA, there are still 2019 returns outstanding. And, with this unusual tax season soon to be behind us, top-of-class tax and financial advisors must start immediately to help Canadians manage tax debts, maximize remaining social benefit payments and plan to reduce taxes payable in 2020. It’s a tall order.
US Citizens in Canada Receive Tax Free COVID Payment
U.S. tax filers, including American Citizens living in Canada, will have received Economic Income Payments (EIP) based on income levels reported on their 2018 and 2019 tax returns filed in the U.S. Now CRA has confirmed in a technical bulletin issued August 31 that there is more good news: the payments will not be taxable to residents in Canada.
CSA Announces Ban on Trailing Commissions for OEO Dealers
According to a news release from the Canadian Securities Administrators (CSA), final rules were adopted to ban the payment of trailing commissions by fund organizations, such as order-execution only (OEO) dealers who don’t make investment suitability determinations.
How Can You Help Canadians Recover from Financial Fallout?
The true financial test on how well Canadians will weather the financial storm brought on by the pandemic will occur in the months to come. A glimpse into that future is well described in a June 2020 report from the Bank of Canada. It suggests three catalysts, working together, that can lead to successful financial recovery:
