Changes to Paper Filing Disempowering

Last tax season, only 7% of all Canadian tax filers filed on paper. The CRA is pushing for zero. It continues to steer the holdouts to digitized filing by adding lots of obstacles. Most recently, it is removing almost all the schedules from the tax return package it mails. This seems unfair to people who paper file because they can’t afford a computer and internet, distrust the security of online filing and those who are neither tax or computer literate. Here’s what they are up against:

The Dark Horses are coming:  little known tax facts and tips ordinary advisors never tell their clients about.  It makes a big difference in the after-tax result!  December 15 is the beginning of the Early Registration Deadlines for the Advanced T1 Tax Update, featuring three training options in 2023:

Did you know that in Canada, a third of people do not have dental insurance to get the dental care they need?  Starting on December 1, eligible Canadians were allowed to apply for the Canada Dental Benefit. This is the first-ever federal dental-care program, but it comes with fine print and potential auditing if incorrectly applied for.  Here’s what you need to know to tap into the program, which allows for dental expenditures to be claimed back to October 1, 2022. 

Working with both financial advisors and tax specialists can help clients give more to their communities through charity before year end.  But it’s critical for advisors to be proactive now, or time will run out to give more, tax efficiently. One common issue I’ve come across is with clients who have a non-registered investment portfolio, but are writing cheques to charities for their annual giving.

An overwhelming majority of Knowledge Bureau poll respondents, 93%, believe investors should harvest tax losses in 2022 to recover taxes paid on capital gains declared in the past three years.  It’s an interesting question, however, because in some cases it might be the right thing to do; in others not.  Most professionals reflected this sentiment in their comments.

Do you like working numbers and have an aptitude to solve problems?  Do you love working with people? It may be the right time to change course and embrace a new career path in the tax accounting industry.  It can be financially rewarding, too.  An accountant with 0-3 year's experience living in Alberta is making on average $70,538, according to the latest Robert Half Salary Guide. A senior tax accountant in Toronto is making over $100,000.

Knowledge Bureau is pleased to announce that two of its designation programs qualify for IIROC Credits:  The RWM™ (Real Wealth Manager) Designation qualifies for 20 PD credits and the MFA-P™ (Philanthropy) designation provides 20 PD and 3 Compliance Credits.