CPA Indexation for 2026 Personal Amounts
The Consumer Price Index numbers for September have been released and that number is used to calculate the indexation rate for personal amounts and tax brackets. Although the federal government has yet to announce the new tax figures, we’ve done the math to estimate the numbers. It’s important information for year end tax planning purposes, a subject we will also cover in depth on November 5 at the live virtual CE Summit. Read on to learn more.Tax Tip: Seniors Who Receive OAS Must Plan for Clawbacks
The full OAS Benefits to be reported as income by recipients on the 2016 tax return is $6,878.82. The amount will be less if you started receiving the benefits this year or could be more if you delayed starting beyond your 65th birthday. But, if you had unanticipated higher income on the 2016 tax return perhaps due to your investments, your annual Old Age Security (OAS) could be reduced or disappear entirely come this July. Worse, you could find yourself paying more in quarterly tax instalment remittances. Are you having that discussion with your tax specialist? It’s important to plan your summer cash flows. Here’s what you need to know:
Early Retirement? You Have Options When It’s Not Your Idea
Lost your job? That can be a very traumatic experience for some; a relief for others. In both cases, Employment Insurance (EI) benefits are a good first line of defence to pay for food and shelter. However, these benefits will be taxable. Worse, if you are a high-income earner in the year you leave your job, these benefits may also be subject to repayment. Therefore, some tax planning is in order.
2017 Tax Convictions by CRA Reap Big Penalties and Jail for Some
CRA has been busy announcing new convictions at the start of 2017, a great deterrent for potential tax evaders at the start of tax season. It’s always best to come forward to declare shortfalls in income reporting or overstatements of tax deductions or credits to avoid expensive interest, penalties and potential jail time. Here’s what happened to those who didn’t. . .
