Podcast: Automatic Tax Filing - Will It Work?
Last week Taxpayers' Ombudsperson François Boileau tabled his annual report: In Pursuit of Better Service: Taxpayers Deserve More. once again, it was nothing short of scathing, as CRA received its highest number of complaints in the last three years. Calling our “completely nuts” Income Tax Act a potential barrier, he is nonetheless pushing for automatic tax filing as a potential solution. A new episode of Real Tax News with Evelyn Jacks & Friends available next week, will feature guest Gillian Petit, Ph.D. - author of a great report, Welcome News for Lower-Income Canadians, but There’s More to Do - which takes a deeper dive. Consider the following:Tax Tip: Writing Off Your Investment Interest Costs
The difference between good and bad debt often lies in its tax deductibility. Those who leverage their assets as part of their strategic plan to build wealth will often do so more successfully by earning more income and increasing their net worth. However, should you borrow to invest? Claiming tax-deductible interest is often the only consolation for the eroding effect that the costs of debt can have on personal wealth. Here’s what you need to know this tax season:
Easter Egg Hunt Planned?
Okay, we admit, it’s a stretch, but we wanted to hop into the spirit, and surprise you, our Knowledge Bureau Report readers, with a tuition treat to celebrate the long weekend!
CEWS & CERB: Audit Potential Emerges for High Ineligibility Rate
The Canada Emergency Wage Subsidy (CEWS) program is set to end on June 15, 2021. Has it been a success? It depends on your perspective. Last week, a Performance Audit on this program and the Canada Emergency Response Benefit (CERB) was completed by the Auditor General of Canada and the findings do raise eyebrows.
Cyber Attack Residue: Taxpayers Still Struggle with CRA Services
Taxpayers who are filing 2020 tax returns and need to report a move to a new address will have a new hurdle to overcome in changing their address with the CRA. This is due to the cyber security incidents dating back to August of 2020.
Tax Filing 2021 Poll: Stick to the Deadlines
Close to 7 million people have already filed their returns and so far it looks like this tax season should be business as usual. Right now, the average tax refund is $1,825, the average amount due is $3,196, and when it comes to meeting tax deadlines, there is no indication that tax filing deadlines will be extended. In our March opinion poll, tax and financial pros agree with this, particularly when it comes to instalment payments. Specifically, 60% of poll respondents feel that further postponement of taxes due would not be appropriate. Here are two noteworthy comments:
Mark Your Tax Calendar: Important April Tax Milestones
April is a month full tax milestones with the pinnacle being the April 30 tax filing deadline for individuals. Note that for businesses, the final application deadline for Canada Emergency Business Accounts (CEBA) loan ended March 31. Here’s a handy tax milestones calendar from Knowledge Bureau for the month of April, excerpted from the Knowledge Bureau Advanced Tax Update Course.
