We’ve been advising you for months now to talk to your tax and financial advisers to figure out your tax liabilities before the end of the year to minimize tax obligations. Many of you might be vulnerable following a year with so many curveballs including COVID-19, the residual fallout affecting the economy, fluctuating markets and […] Read more
Tag Archives Money in Your Pocket
Tax minimization is OK, but don’t step on a land mine
Financial planning necessary in these uncertain times
We wish we didn’t have to write about the impact of COVID on the economy any more. Nevertheless, it appears this is going to be with us for several more months of uncertainty. The situation will likely create many financial and taxation difficulties for the farming community, as well as all taxpayers. There is no […] Read more
Beware of CRA scams that have increased since COVID
COVID-19 as a virus has commanded our attention since early March but, in effect, we are discovering most governments, including Canada’s front-line medical watchdogs, saw the signals sooner. But there is another unexpected viral consequence of the pandemic and that is fraud and various scams targeting Canadians, most of them seniors. Canada Revenue Agency recently […] Read more
Strategies to help you plan your way around taxes
In our last few articles we’ve highlighted elevated government spending programs and the inevitable increase in the accumulated debt to alleviate the worst economic impacts brought on by the COVID pandemic. Both current and former senior civil servants, economists and at least one former prime minister are all predicting that while these spending programs have […] Read more
Who’s going to pay the piper after COVID-19 spending?
Former governor of the Bank of Canada David Dodge, writing on behalf of the C.D. Howe Institute while referring to the government’s financial response to COVID-19, said the right decisions were probably made at the time. However, the report also stated that the government must implement a plan to “restore fiscal maneuvering room” as soon […] Read more
COVID aid paperwork must be in order as audits loom
I have previously mentioned that Canada’s accumulated deficit with all the COVID-19 related emergency spending programs will now most likely top a trillion dollars for fiscal year 2020-21, up from $685.5 billion last year, according to government estimates. Many of those programs were, and if still available, continue to be extremely useful in providing a […] Read more
Death will result in tax implications for RRSPs, RRIFs
Unfortunately, this COVID-19 year has caused many of us to think about our own mortality, but it also gives us a lesson in taxes. The federal deficit for 2019 was $26.7 billion but is estimated to balloon to $184 billion and quite likely more next year with COVID-related additional program spending. Federal debt (accumulated deficit) […] Read more
Feds urged to waive mandatory RRIF withdrawal rules
Can my Registered Retirement Income Fund catch the COVID-19 virus? Unfortunately, in a way, it has already. Although the impact of COVID-19 on health and mortality is the most critical issue, it has rendered the Canadian and world economies sick as well. The government has acknowledged this by placing in motion several programs to buffer […] Read more
Add to your CPP payout with a post retirement benefit
If understanding the Canadian tax code can be mind-numbing. Getting the gist of the Canada Pension Plan’s Post Retirement Benefit program can be equally confusing. At one time, the rules were relatively simple. If you decided to receive CPP (whether it was early at age 60, or 65 or 69), you stopped making contributions to […] Read more
Is the late rush to top up an RRSP account worth the trouble?
Every year many (even most) eligible Canadians wait until the deadline to contribute to their Registered Retirement Savings Plans. This year, that deadline is March 2 to make your 2019 contribution to benefit from the resulting tax deduction for the past year. The deduction limit for 2019 is the lesser of 18 percent of your […] Read more
