CRA Tax Tips

Some useful Tax Tips from CRA

TFSA : Using a TFSA is a great way to save money. Generally, interest, dividends, and capital gains earned on investments in a TFSA are not taxable – either while held in the account or when withdrawn.

RRSP: You can save on your taxes and save for your retirement at the same time. Contributions to your RRSP are tax-deductible, and any income that you earn in your RRSP accumulates tax-free as long as the funds stay in the plan. The RRSP contribution deadline for the 2015 tax year is Monday, February 29, 2016.

Donations: Donations of cash, goods, land, or listed securities made to a registered charity or other qualified donee may be eligible for a charitable tax credit. Also, take advantage of the first-time donor’s super credit on donations of money to a maximum of $1,000 made after March 20, 2013, if you are considered a first-time donor.

For Families: There are many ways families can save at tax time. The activities you signed your kids up for may save you money on your taxes – save those receipts! If your child was enrolled in a sports or arts program you may be eligible for the Children’s fitness tax credit or the Children’s arts amount. If you support a dependant with a physical or mental impairment, you may be able to claim an additional amount (up to $2,093 in 2015) related to the family caregiver amount when calculating certain non-refundable tax credits related.

For Students: Were you a student in 2015? You may be able to claim tuition, textbook, education amounts, and public transit passes. You can also transfer or carry forward your tuition, education, and textbook amounts.

Seniors: If you receive a pension, you may be able to elect with your spouse or common-law partner to allocate up to 50% of your eligible pension income to your spouse or common-law partner to reduce your combined tax payable. You may also be eligible to claim the age amount, medical expenses, and the disability tax credit. If you are dependent on another person due to a physical or mental impairment, your caregiver may be able to claim the family caregiver amount when calculating certain non-refundable tax credits.

For detailed information on tax credits and deductibles, contact us today @ 905.790.0657

Wadehra Professional Corporation, CPA CA Firm Brampton

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