Mark Your Calendar: Critical Deadlines for May and June

Tax season never truly ends, it seems, as there are many more upcoming tax filing, investment planning and education milestones to discuss with your clients over the next six months. Check out our handy checklist below and then test yourself – what are the conversation openers you’ll use and with which clients? It’s your opportunity to shine with every member of the household:

Knowledge Bureau has made it easier for you to register virtually, 24/7 in online courses and to calculate the tuition fee schedule that is right for your budget.  Check out the new online instalment payment calculator and the brand-new Virtual Registrar. It’s the perfect way for night owls and weekend warriors to get started!

In a lengthy Throne Speech, the Governor General highlighted the extensive and potentially expensive plans the federal government envisions for economic recovery to “Build Back Better”, all in the midst an unprecedented global pandemic. Further fiscal details and cost projections are promised to be delivered in an Economic Response Plan later this fall. What’s especially interesting is a glimpse at big changes in practice management ahead for the tax preparation industry. Highlights follow.

As part of the September 23, 2020 Speech from the Throne, the government committed to several goals concerning zero-emission vehicles. The intention is to improve affordability and encourage manufacturing of these products by cutting the corporate tax rate for those making zero-emission products by a proposed 50%.

During yesterday’s Throne Speech, the federal government promised to move forward with enhancements to the First-Time Home Buyer Incentive, including in Canada’s largest cities, so more families can afford to buy their first home. No further definition was provided with regard to what this expansion means, or how further assistance will be provided to Canadians living in the pricier parts of the country. However, promises made by the Liberal government heading into the last election may provide some clues.

The Speech from the Throne indicates that the government will be following through on several promises made in the last election. Promises for seniors include enhancements to Old Age Security (OAS) and the Canada Pension Plan Survivor’s Benefit. For the disabled, a new Canadian Disability Benefit will be introduced, along with an employment strategy and improved processes to determine program and benefit eligibility. Here are the details:

The 2019 Federal Budget proposed an annual cap of $200,000 on stock options granted to employees by "large, long-established, mature firms."  This cap is on the value of the shares at the time the options are granted. More details were set to be delivered in the 2020 Federal Budget, including information from the consultations with Canadians. It's information we're still waiting for, however, the government did recommit to its implementation during yesterday's Throne Speech. Here’s what we know now: