The Gateway:  Maximizing the Impact of the Disability Tax Credit

In addition to reducing income tax through a non-refundable credit, the Disability Tax Credit (DTC) serves as a gateway to a wide range of additional tax benefits and government programs. Eligibility for the DTC can unlock enhanced credits, financial supplements, and long-term savings opportunities that go well beyond the tax return. Understanding how the DTC connects to these broader supports is essential for maximizing financial stability—both for individuals living with disabilities and the family members who support them.  Unfortunately, many taxpayers miss this credit and their tax and financial advisors can certainly help when this happens.

Great news! New data from Statistics Canada’s Canadian Income Survey, released on February 26, shows that poverty levels are on the decline thanks (at least, in part) to federal benefit programs like the Canada Child Benefit (CCB) and the Guaranteed Income Supplement (GIS). Unfortunately, there is a fly in the ointment, but tax and financial professionals can help.

Is a recession around the corner? A March 1 Statistics Canada economic report shows negligible economic growth for the fourth quarter of 2018, due to a decline in oil export prices and decreased investment spending. Now just might be the right time to implement tax and financial planning strategies to brace for a prolonged slowdown.

Is the tax refund a good thing? It’s a question that spurred a great debate in February’s Knowledge Bureau poll when we asked tax and financial professionals whether or not the withholding taxes that lead to a tax refund should be reduced to help taxpayers save or pay down debt. Did the no side or the yes side win? You’ll be surprised by the results.

Canadians are struggling to meet their retirement savings goals, and this is an issue impacting the traditionally employed and self-employed, alike. A recent survey by TD identified that it’s a special challenge for gig workers in particular. But for many, it’s a dilemma that can be solved by changing priorities. 

British Columbia was the first province to release its budget this year, when they announced it on February 19. There were some interesting new benefits in the package that advisors must factor into their tax and financial strategies with clients who are B.C residents at the end of 2019.

Knowledge Bureau has been so inspired by graduate Renata McMann’s commitment to education. Here’s the story of her educational journey to become a DFA – Tax Services Specialist™.