Knowledge Bureau Poll: Tax Cut Doesn’t Cut It!

The Notice of Ways and Means Motion was released on May 27, but the 1% tax rate cut going into effect on July 1, didn’t cut it with Knowledge Bureau Report readers who responded to our May Poll.  A decisive 90% of respondents said “No” when asked: does the new government’s promise to cut the lowest personal income tax rate by 1% to 14%, (14.5% in 2025) go far enough to help Canadians impacted by high costs?  Here were their comments and suggested alternatives based on real life experiences with the after-tax income their struggling clients are left with:

We’re in the midst of one of the biggest platform shifts in a generation and our data shows that there is a new 24 hour expectation of service that comes with it, says Rachelle Amyotte, Intuit Canada’s Accountant Business Development Leader, who will be a keynote speaker at the Distinguished Advisor Workshops.

Knowledge Bureau is pleased to announce another five certificate courses will be published by the end of October to cap an ambitious year of renewal in the content management division.

Especially in a low interest rate environment where it is difficult to beat inflation and tax erosion without incurring market risk volatility, any rollback of the TFSA contribution limit to $5500 from the current $10,000 would affect seniors, as well as young adults trying to save for their futures, too.

As of today millions of taxpayers’ financial information will be shared between US and Canada under FACTA.  Financial advisors, institutions and account holders all face increased reporting and due diligence requirements and, as a result, advisors are reminded to review their clients’ citizenship status to ensure that proper records are in fact available to the reporting financial institution.

In its submission to the Expert Committee, Ontario Ministry of Finance on Financial Advisory and Financial Planning Policy Alternatives, Knowledge Bureau was pleased to provide recommendations on the merits of more tailored regulation to those engaged in financial planning and the giving of financial advice, specifically in the area of continuing professional development.

Is the tax system doing enough to recognize the real and increasing costs of elder care? You may be surprised at the answer as we conclude our analysis of the question this week, reviewing tax credits available to the vulnerable and their supporting individuals.