Employment Insurance (EI) Benefits for Freelancers
At long last, Canadian self-employed people can collect employment insurance (EI) benefits. But participation in the program, which is voluntary, has its pros and cons. There are some points to...
View ArticleSpecial credits and refunds for Low- and Middle- income earners
Four Credits and Advantages for Low- and Middle- Income Earners Reap the benefits by filing outstanding tax returns When money is tight, you can have your hands full just getting to the end of the...
View ArticleMinimizing tax when parents give their children money
How gifts from parents to children are taxed Q: I am about to receive some money from my parents (about $12,000-15,000) to put towards my student loan. What will this do to my tax bracket and theirs?...
View ArticleHow inherited property is taxed in Canada
Tax on Inherited Property Keeping Records Can Prevent Surprises Later As a general rule, inherited property is non-taxable in Canada. At the time you receive your inheritance, you don’t need to report...
View ArticleWhat is a T4A?
Like all Canadian tax slips beginning with “T4″, a T4A reports income you earned. It’s something like a catch-all slip for income that isn’t reported on other kinds of slips, so it’s easier to list...
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Artist’s Grants and Canadian Tax
©iStockphoto.com/airportrait The first thing you have to remember is that income tax and HST are two separate things. A grant is subject to income tax, but not to HST. So when calculating your income...
View ArticleDo You Need To Pay Income Tax Instalments?
If your net tax owing when you filed your last income tax return exceeded $3,000, you may be obliged to make quarterly instalments toward your next year’s tax bill. The majority of Canadians don’t have...
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Avoid Penalties for Missing Slips
©iStockphoto/gemenacom Missing a slip on your tax return can be expensive. T4s that you get from your employers aren’t the problem – you work all year, you’re not likely to forget you earned that...
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Do you need to pay HST instalments?
©iStockphoto/TABoomer While instalments have been always been required of HST registrants in the year after they remit at least $3,000, not warning those registrants seems to be new. Instalments are...
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Use this trick to save tax on your way back to school
©iStockPhoto/pixhook If you’re thinking of heading back to school come September, a simple maneuver now can give you an extra tax boost in the future without costing you a cent. The Lifelong Learning...
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RRSPs: Sheltering an Income Spike with RRSP & HBP
Had a great year? Protect yourself from taxes with an RRSP. ©iStockphoto.com/eyetoeyePIX Freelance income can be a rollercoaster. When you get a great gig after a dry spell the relief of the new...
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Gifts In Kind (Donating Art to Charities)
©iStockphoto/pcatalin Visual artists can donate their own work to charity and get a donation receipt; but the tax advantages are minimal when the transaction is handled properly. In some cases it can...
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Avoid this expensive error: Register for HST before CRA asks.
©iStockphoto/stockstudioX While many people worry about being audited, audits are relatively rare. It’s much more common – and potentially very expensive – to be caught unregistered for the GST/HST....
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Beware of Scam Emails from the Canada Revenue Agency
© iStockphoto/amanalang Around this time every year, scammers start sending out emails to Canadians claiming to be from the Canada Revenue Agency. As with most phishing schemes, recognition is the key...
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You May Have an Extra 6 Weeks to File
©iStockPhoto/ tumpikuja If you have any freelance income to declare on your tax return, you and your partner or spouse can take advantage of a little-known bonus: an extra six weeks to file. Personal...
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Listen When CRA Asks for More Info
Sometimes after you file your return CRA sends a letter requesting further information. While these ‘Pre-Assessment Reviews’ don’t necessarily spell trouble, ignoring them can. Personal Tax Advisors:...
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Is That Medical Expense Allowed?
Wikimedia Commons No one likes high medical expenses, but at least they can reduce your tax bill. That’s if the Canada Revenue Agency recognizes them as allowable. Personal Tax Advisors: Next Level Tax...
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Mail-in Returns Due by Friday, May 30
©iStockphoto/fstop123 Returning clients are eligible for mail-in/drop-off tax preparation. We must receive all required materials no later than noon on Friday, May 30, to ensure that your return will...
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Going Back to School? Act Fast for Major Tax Savings
©iStockphoto/psdphotography If you’re planning to go back to school in September you can use the money you’ve saved for tuition for a quick tax bonus – but only if you act soon. Personal Tax...
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Watch Out for Missing Slips!
©iStockphoto/micha360 Everyone makes mistakes, and sometimes tax slips get misplaced or lost in the mail and consequently don’t get entered in your tax return. Personal Tax Advisors: Next Level Tax...
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