This Month’s Poll
The automobile deduction limits raised — the CCA ceiling for passenger vehicles to $39,000 plus tax for 2026. In your opinion, is that high enough?Interest Paid By and to the CRA
Did you calculate whether a December 15 instalment remittance was required to top up tax pre-payments for the 2019 tax year? At this busy pre-Christmas time, it is easy to miss. For these reasons, it is so important to plan your charitable donations now and make them before year-end. They could help you reduce the amount you will owe. The big issue: the interest costs you may have to pay in the spring if you are deficient. Here is what you have to know.
Reflections on a Tax Decade
A year-end reflection on the evolution of Canada’s tax system has brought some sobering observations and a special wish. Despite a dramatic shift in our economic landscape, our tax system is neither simpler or more competitive, nor is it necessarily fairer. There is much work to do.
New 2019 T1 Tax Return: Longest in History
At 8 pages, the 2019 T1 return is the longest tax form in history. It could also be the most complex, says Evelyn Jacks, President of Knowledge Bureau, who together with special guest experts, will be hosting a 6 city national education tour in January to teach professionals about the changes to the forms, line numbers and the detailed legislation behind them.
Designates: Don’t Miss Your Dec 31 Re-certification Deadline!
Keep up your credentials in 2020. If you are a Knowledge Bureau designate, be sure to update your status as per our Standards of Conduct, which require relicensing to use the designation marks at year-end. You should have received your re-licensing notice by now; if not please contact us before the holidays.
The New BPA: Now Confirmed, It’s Complicated
On December 9,2019, the new government has introduced the legislation to implement changes to the Basic Personal Amount (BPA). This is a broad-based tax change that should put more money into employees’ pockets every payday, and help to reduce quarterly or annual instalment remittances for others. But, it’s all very complex and the changes are scheduled to begin in 2020. There is a spoiler alert, however.
Managing TFSA Misconceptions: Avoiding Errors and Omissions
The Tax Free Savings Account (TFSA) has been with us for a decade now, yet there are many misconceptions about it. For example, the 2019 contribution limit is $63,500 for those who have been eligible to contribute every year since 2009. That’s residents of Canada who are 18 or over. If you turned 18 in 2019, however, you would contribute based on the current year limit of $6000. Another big problem: when to replenish your withdrawn funds.
