May 2025 Poll

Does the Liberal promise expected soon to cut the lowest personal income tax rate by 1% to 14%,  go far enough to help Canadians impacted by high costs?

The federal government has announced increases to federal tax brackets, non-refundable and refundable credits based on an indexing increase of 2.8% for 2012. This brings the Basic Personal Amount, Spousal Amount and Amount for Eligible Child up to $10,822. The latter two amounts will be further increased to $12,822 under the new Family Caregiver Tax Credit. The indexing adjustment also raises the top tax bracket up to $132,406; this is the amount of taxable income that will be subject to the top federal tax rate of 29%. Planning for tax free zones, income ceilings for income-tested programs andinter-family use of transferrable tax creditswill be the subject of the January T1 Tax Update. For more information see Distinguished Advisor Workshop  

In an attempt to quell the litany of litigation in the Tax Court of Canada, the Government is now accepting advice as to how to deal more efficiently with the caseload. Some might argue that which is really needed is a simplification of taxation legislation. While there is no easy way to legislate on the plethora of issues covered by our current legislation, a review of whether everything in our legislation is necessary may also be useful. Some of the proposals already on the table include (from the Department of Finance): ï Update the monetary limits for access to the informal appeal procedure, providing taxpayers with greater access to a simplified and cost-effective judicial process and enabling a better balance in the Tax Court of Canada's caseload. Under this proposal, a taxpayer could elect to proceed by way of Informal Procedure where the aggregate of all amounts in issue in an income tax appeal is equal to or less than $25,000 (or where a loss does not exceed $50,000). ï Also, under a new monetary limit for GST/HST appeals, an appeal involving an amount in dispute in excess of $50,000 would be required to proceed by way of the General Procedure. ï Allow the Tax Court of Canada to dispose of issues raised in an appeal of an assessment separately, so that some issues can be resolved independently from others and to allow the Minister of National Revenue to give effect to the decision of the Court in respect of those discrete issues. ï Permit the Tax Court of Canada to hear a question affecting a group of two or more taxpayers that arises out of substantially similar transactions, and provide that the resulting judicial determination is binding across the group. The problem may well need resolution outside the procedure of the Court first. Tax issues very seldom rely on the exact same facts; the existence or absence of one tiny detail can change the character of a case immensely. Attempting to deal with similar cases together and creating binding judgments on all parties involved is not only contrary to equitable justice, but would only result in more appeals. NEXT TIME: IMPROVING TAX PROVISIONS THAT LAND IN COURT

In addition to prudent fiscal policy and a sound domestic financial system, the Government and the Bank of Canada attribute Canada's success in weathering the storm of the recent global recession to Canada's flexible inflation-targeting framework. The Inflation Control Target was initially introduced in 1991. Since then, Consumer Price Index (CPI) inflation has been held to a stable and predictable level of close to 2 per cent. What's more, real output has expanded at an average rate of close to 3 per cent per annum. The labour market has also been strong, exemplified by the sub 6% unemployment rate prior to the 2008-2009 global financial crisis. Canada has been one of the strongest performing advanced economies throughout the crisis. In fact, Canada is the only G7 country to have recovered all of the output and the jobs lost during the recession, and more. As a result, the Government the Bank of Canada agreed to renew the inflation target on the following basis (from the Bank of Canada): ï The target will continue to be defined in terms of the 12-month rate of change in the total CPI. ï The inflation target will continue to be the 2 per cent mid-point of the 1 to 3 per cent inflation-control range. The agreement will run for another five-year period, ending 31 December 2016.   Additional Educational Resource: Financial Recovery In a Fragile World book  

Evelyn Jacks, President of Knowledge Bureau awarded 18 graduates of the Master Financial Advisorô and Distinguished Financial Advisorô programs with their graduate pins at a special reception honoring the designates at the Distinguished Advisor Conference in Palm Springs. "Canadians are looking for a new approach to securing their family's financial future in this time of fragile recovery in the global economy,î said Mrs. Jacks as called upon both new and recent graduates to receive their special recognition. "As designated Distinguished and Master Financial Advisors, these professionals have positioned themselves as specialists trained to lead and work strategically with other advisors to manage tax efficient investment, retirement, business and succession plans under a Real Wealth Managementô approach.î Knowledge Bureau, a national educational institute focused on continuing professional development of advisors in the tax, bookkeeping and financial services, has developed the ground-breaking Real Wealth Managementô framework and discipline around which Canadians and their advisors can better use financial resources to accumulate, grow, preserve and ultimately transition accumulated wealth to the next generation, with as much purchasing power as possible, after tax, inflation and fees. Graduates of the Distinguished Financial Advisor - Specialist and Master Financial Advisor designation programs are required to select an area of specialization (tax, bookkeeping, investment & retirement income planning, business services or succession and estate planning) and then pass six 30 hour courses in which they must demonstrate technical application skills, and the experiential knowledge to assist clients with their specific tax and wealth management plans. For more information visit: http://www.knowledgebureau.com/. MFA GRADUATES DFA-SPECIALIST GRADUATES   Patty Hopkins, Calgary, AB, DFA - Bookkeeping Services Specialist Gloria Jones, Calgary, AB, MFA - Retirement Income Services Specialist Shelley Rudiger, Edmonton, AB, DFA - Bookkeeping Services Specialist Halina Siemiginowski, Calgary, AB,  DFA - Tax Services Specialist Anthony Bosch, Richmond, BC, MFA - Retirement Income Services Specialist Maureen Carse,  Burnaby, BC, DFA - Tax Services Specialist Paula McGraw, Penticton, BC, DFA - Tax Services Specialist Philip Primeau, Surrey, BC, DFA - Tax Services Specialist/MFA - Retirement Income Services Specialist Wendy Simpson, Vancouver, BC, DFA - Bookkeeping Services Specialist Ina Turner, Port Coquitlam, BC, DFA - Bookkeeping Services Specialist Dean Cockell, Winnipeg, MB, MFA - Investment and Retirement Services Specialist Margaret Hodgson,  Birtle, MB, DFA - Tax Services Specialist Vongsa Phommarath, Winnipeg, MB, MFA - Business Service Specialist Robert T. Brake, Stoney Creek, ON, DFA - Tax Services Specialist Sandra Erb, Wellesley, ON, MFA - Retirement Income Services Specialist Siegfried Merten,  St. Catharines, ON, MFA - Retirement Income Services Specialist Alan Rowell, Stoney Creek, ON, DFA - Tax Services Specialist Paul Weeks, Charlottetown, PE, DFA - Tax Services Specialist/MFA - Succession and Estate Planning Specialist  

The sold out Distinguished Advisor Conference ended with a standing ovation as Evelyn Jacks summarized the significance of the Recovery Theme against the backdrop of stirring images of a dramatic 2011. "We are in repair, but not quite there,î said Mrs. Jacks, as advisors digested the 18 sessions ranging from macro economic views to technical sessions on real estate, tax, retirement, debt management, succession and investment planning. "You do important work, you have developed strong networks and you are better positioned to embrace new approaches to family wealth management in these unprecedented times.î The spectacular Casa Rosa mountains surrounded the beautiful venue, where delegates enjoyed meeting up with old and new friends and peers. The atmosphere was relaxed and friendly and you rarely pass by someone who isn't smiling and having a wonderful time. For Photo Highlights For Session Summary Reports:   Distinguished Advisor Conference -Day 2   More Successful Financial Relationships - Randy Ambrosie Sponsored by: Accretive Advisor   Debt Management = High Value Clients - Stephanie Holmes-Winton Sponsored by: Manulife Bank   Exempt Market Funds: Should They Be On Your Product Shelf? - Robert Ironside Sponsored by: Knowledge Bureau   Road to Recovery: Clarify Investment Processes With ETFs - Mark Webster Sponsored by: BMO Financial Group   U.S. Real Estate Investing for Canadians - Darren Latoski, Steve Evans and Rhonda Taplin Sponsored by: Sunstone Realty   United States - After The great Recession, What Kind of Recovery? - Bill Cheney Sponsored by: Manulife Securities   Working With Stars - Tom Dreesen Sponsored by: Knowledge Bureau   The Rat Pack Gala Distinguished Advisor Conference - Day 3 RWM: Transition: Tax Efficient U.S. Property Acquisitions - Larry Frostiak and Angela Preteau Sponsored by: Knowledge Bureau   RWM: Adding Tax Alpha: Consistently Better Returns with Tax Efficiency - Dale Durand Sponsored by: NexGen Financial   Creating Investment Portfolios For UL - Geraldo Ferreira Sponsored by: Tranamaerica   RWM: Tax Strategies For Caregivers - Walter Harder Sponsored by: Knowledge Bureau   New Relationships, New Media - Managing Expectations - David Christianson Sponsored by: Knowledge Bureau   Investing in Tomorrow- Panel Discussion - Susan Misner and Dennis Modrich Sponsored by: Knowledge Bureau   Conference Close: In Repair - Evelyn Jacks

Tom is a local Californian and is with the Coachella Valley Economic Partnership. He shared their mission and vision for a sustainable and diversified year-round economy that is competitive in the global world. 3 Key Points: 1. Tom provided audience with an interesting overview of the Coachella Valley Economic Partnership here in southern California 2. Leadership in the private sector required to build the economic future of Coachella Valley 3. They are developing a model to be competitive in the global world from the grass roots and up ñ striving to be the economic model for California. (Compete! Compete! Compete!)