Moodys Gartner 2016 Federal Budget Summary

Moodys Gartner Tax Law LLP have put together a good summary of the tax measures that may interest our clients, along with their analysis and some commentary.

Intuit QuickBooks February 2016


This is the latest marketing material from Intuit Quickbooks and it has a few good tips that may help our small business clients better understand and manage their cash flow.

Business Matters Newsletter 30.1 (February 2016)

INCORPORATION "Let's Incorporate: The incorporation process is relatively simple whether you incorporate provincially or federally."; TAXATION "Crowdfunding: Crowdfunding is a new way to raise money; however, be careful of the tax implications."; MANAGEMENT "I Hear YouEffective communication is the key to effective management."; TECHNOLOGY "Dashcams: Dashcams can provide the key evidence in a vehicle accident or fraud claim."

Business Matters Newsletter 29.6 (December 2015)

PERSONAL FINANCE "Happy New Year!The end of the year is a good time to review long-term investments and mortgages."; TECHNOLOGY "Marshmallow, Anyone?Security of the mobile devices used in your business should be a primary concern."; TAXATION "Tax Benefits for the Self-EmployedThere are many tax advantages for self-employed Canadians who work from home and hire family members in their business."; MONEYSAVER "I Am So TiredLack of sleep can reduce productivity, increase absenteeism and add to the risk of accidents and errors on the job."

Business Matters Newsletter 29.5 (October 2015)

FRAUD PREVENTION "Income Tax ScamsBeware of telephone calls or emails from persons pretending to be CRA agents and asking for personal information or promising you a tax refund."; MONEYSAVER "Keep On Truckin'Monitoring each vehicle as a cost centre is the key to managing fleet costs."; HEALTH AND SAFETY "Sorry, I Couldn't Hear ThatExcessive noise levels can injure employees and result in expensive insurance claims."; TAXATION "Giving to CharityCheck with your tax advisor to make sure your charitable donation meets the requirements for your maximum tax deduction."

Business Matters Newsletter 29.4 (August 2015)

MANAGEMENT "Burnout: Overly stressed employees can negatively affect productivity and profitability."; TAXATION "Take TwoMake sure you collect and keep all your receipts for tax-deductible medical and moving costs."; MANAGEMENT "A Joint CommitmentAny business is a joint enterprise between its employer and its employees."; TECHNOLOGY "Virtual OfficesVirtual offices reduce costs significantly for certain types of businesses."

Business Matters Newsletter 29.3 (June 2015)

TAXATION "Salary or Dividends?The way a bonus is paid has a significant effect on corporate and personal after-tax income."; MANAGEMENT "You're HiredHuman rights legislation governs all hiring practices."; MONEYSAVER "Improve the Bottom LineIncreasing revenue is not the only way to improve the bottom line."; TECHNOLOGY "Metamorphosis: 'A change would do you good.' -Sheryl Crow.'"; 

Tax Alerts

The fact that debt levels of Canadian households have been increasing over the past decade and a half can’t really be called news anymore. In particular, the ratio of debt-to-household-income, which stood at 93% in 2005, has risen steadily since then and, as of the third quarter of 2018, reached (another) new record of 177.5%. In other words, the average Canadian household owed $1.78 for every dollar of disposable (after-tax) income. (The Statistics Canada publication reporting those findings can be found on the StatsCan website at

Sometime during the month of February, millions of Canadians will receive mail from the Canada Revenue Agency (CRA). That mail, a “Tax Instalment Reminder”, will set out the amount of instalment payments of income tax to be paid by the recipient taxpayer by March 15 and June 17 of this year.

For most taxpayers, the annual deadline for making an RRSP contribution comes at a very inconvenient time. At the end of February, many Canadians are still trying to pay off the bills from holiday spending, the first income tax instalment payment is due two weeks later on March 15 and the need to pay any tax balance for the year just ended comes just 6 weeks after that, on April 30. And, while the best advice on how to avoid such a cash flow crunch is to make RRSP contributions on a regular basis throughout the year, that’s more of a goal than a reality for the majority of Canadians.

Income tax is a big-ticket item for most retired Canadians. Especially for those who are no longer paying a mortgage, the annual tax bill may be the single biggest expenditure they are required to make each year. Fortunately, the Canadian tax system provides a number of tax deductions and credits available only to those over the age of 65 (like the age credit) or only to those receiving the kinds of income usually received by retirees (like the pension income credit), in order to help minimize that tax burden. And, in most cases, the availability of those credits is flagged, either on the income tax form which must be completed each spring or on the accompanying income tax guide.

The Employment Insurance premium rate for 2019 is decreased to 1.62%.

The Quebec Pension Plan contribution rate for employees and employers for 2019 is 5.55%, and maximum pensionable earnings are $57,400. The basic exemption is $3,500.

The Canada Pension Plan contribution rate for 2019 is increased to 5.1% of pensionable earnings for the year.

Dollar amounts on which individual non-refundable federal tax credits for 2019 are based, and the actual tax credit claimable, will be as follows.

The indexing factor for federal tax credits and brackets for 2018 is 2.2%. The following federal tax rates and brackets will be in effect for individuals for the 2019 tax year.

Each new tax year brings with it a listing of tax payment and filing deadlines, as well as some changes with respect to tax planning strategies. Some of the more significant dates and changes for individual taxpayers for 2019 are listed below.

The following tax changes are in effect January 1, 2019.

While there weren’t a great number of tax measures included in the 2018 Fall Economic Statement brought down by the Minister of Finance on November 21, 2018, the tax changes that were announced represented good news for Canadian businesses.

Most Canadians know that the deadline for making contributions to one’s registered retirement savings plan (RRSP) comes after the end of the calendar year, around the end of February. There are, however, some instances an RRSP contribution must be (or should be) made by December 31st, in order to achieve the desired tax result, as follows.

For individual Canadian taxpayers, the tax year ends at the same time as the calendar year. And what that means for individual Canadians is that any steps taken to reduce their tax payable for 2018 must be completed by December 31, 2018. (For individual taxpayers, the only significant exception to that rule is registered retirement savings plan contributions, which can be made any time up to and including March 1, 2019, and claimed on the return for 2018.)

The holiday season is usually costly, but few Canadians are aware that those costs can include increased income tax liability resulting from holiday gifts and celebrations. It doesn’t seem entirely in the spirit of the season to have to consider possible tax consequences when attending holiday celebrations and receiving gifts; however, our tax system extends its reach into most areas of the lives of Canadians, and the holidays are no exception. Fortunately, the possible negative tax consequences are confined to a minority of fact situations and relationships, usually involving employers and employees, and are entirely avoidable with a little advance planning.

Two quarterly newsletters have been added—one dealing with personal issues, and one dealing with corporate issues.

For most Canadians, having to pay for legal services is an infrequent occurrence, and most Canadians would like to keep it that way. In many instances, the need to seek out and obtain legal services (and to pay for them) is associated with life’s more unwelcome occurrences and experiences — a divorce, a dispute over a family estate, or a job loss. About the only thing that mitigates the pain of paying legal fees (apart, hopefully, from a successful resolution of the problem that created the need for legal advice) would be being able to claim a tax credit or deduction for the fees paid.

From our family to yours, we with you all a very happy Father's Day.

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