A thorough analysis of today’s financial news—delivered weekly to your inbox or via social media. As part of Knowledge Bureau’s interactive network, the Report covers current issues on the tax and financial services landscape and provides a wide range of professional benefits, including access to peer-to-peer blogs, opinion polls, online lessons, and vital industry information from Canada’s only multi-disciplinary financial educator.
Canadians pride themselves on being an honest people. We pay our taxes. That is, almost all of us pay our taxes. But there is a small percentage of individuals and businesses who are guilty of tax evasion. While most of us pay up, there will always be a percentage looking to cheat the government. Tax and financial advisory professionals are highly trained to advise against this and explain the consequences.
In today’s fast-changing economy, professionals in the tax, bookkeeping, and financial services sectors are facing increasing pressure to diversify their knowledge, demonstrate credibility, and add tangible value for clients navigating uncertainty. That’s where specialized credentials—particularly the Distinguished Master Advisor (DMA™) Designation offered through Knowledge Bureau—can make a meaningful difference.
The June 16 tax filing deadline for self-employed proprietors is just around the corner. Be sure to do a thorough review of business expenses allowable – it’s essential to be accurate for tax purposes and keep all receipts and documentation for audit purposes. Misinterpretation or misclassification of expenses can result in either an understatement or overstatement—both of which can impact income reporting, Canada Pension Plan (CPP) contributions, and income tax obligations.
The Notice of Ways and Means Motion was released on May 27, but the 1% tax rate cut going into effect on July 1, didn’t cut it with Knowledge Bureau Report readers who responded to our May Poll. A decisive 90% of respondents said “No” when asked: does the new government’s promise to cut the lowest personal income tax rate by 1% to 14%, (14.5% in 2025) go far enough to help Canadians impacted by high costs? Here were their comments and suggested alternatives based on real life experiences with the after-tax income their struggling clients are left with:
Most of the personal tax returns have been filed for 2024 but we need to continue to be aware of important dates related to tax filing and investment planning. Many tax filers moan at tax time and wish they had made other decisions throughout the year but the incentive to change often disappears once the tax returns are filed. Tax and investment planning is a year-round process and we need to be mindful of important dates.