We wanted to discuss a few quick facts about the Tax-Free Savings Account (TFSA).
The annual TFSA dollar limit for the year 2019 is $6,000.
Q) Can I take advantage of TFSA?
A) TFSA is available to all Canadians, 18 years and older.
Q) What is the main benefit of having a TFSA versus a regular savings account?
A) Any interest, dividends and capital gains earned in a TFSA are not subject to tax;
Q) Where do I put my money…
STARTING YOUR OWN BUSINESS? Here is what you need to know
The Canada Revenue Agency provides a Checklist for Small Businesses to help you understand each stage of your business cycle. Find out more here.
Feel free to contact us and book a free consultation today.
An accountant’s work needs a certain level of level-headedness. They have an oriented environment where small mistakes can harm the business, how decisions will be made, and the overall financial health of the company. In this article, we will talk about the qualities of a good accountant.
An accountant must understand the industry, sector and the client in detail. Having an idea of your client’s goals enables you to understand which accounting rules and economic measures could fit the…
The meteoric rise, and subsequent tailspin, in the price of bitcoin has incited rampant investment in cryptocurrencies. Over 1,400 coins or tokens are now in “circulation”. Often lost in the resplendence and chicness of buying and selling cryptocurrencies are the tax consequences.
At a basic level, cryptocurrencies (or “crypto”) are property for purposes of the Income Tax Act (Canada). As such, dispositions of crypto ordinarily give rise…
When capital property is donated, there is a disposition for tax purposes, which may result in a capital gain. The fair market value (FMV) of the property donated is used as the proceeds of disposition, and as the amount of the donation. In some circumstances it may be helpful to designate the proceeds amount to be an amount less than FMV.
If any “advantage” was received…
In our opinion, you should incorporate your proprietorship once it has proven to be a viable business and once it has begun to generate cash in excess of your living requirements, so that you can take advantage of the tax deferral opportunity available in a corporation.
Once you have satisfied the above two criteria and incorporate, you will then also benefit from creditor protection and the potential income splitting opportunities with other family members…
Capital losses can be transferred to a spouse or common-law partner by selling the loss shares, and having your spouse purchase those shares within 30 days. You are denied the superficial loss, but the loss amount is used to increase the cost basis of your spouse’s investment. Your spouse must hold the shares for more than 30 days for this to work.
Losses will also be disallowed if shares are
Employment income is included on a T4 for the year in which it is received, not earned. If a payment is made in January 2012 for wages earned in December 2011, this amount will be reported on the 2012 T4, not on the 2011 T4.
A T4 slip must be completed for each individual who received remuneration during the year if:· …
No matter if your business is operating through a proprietorship, partnership or corporation, the following planning can save you money.If you’re planning to purchase capital assets in the near future, consider doing so before the end of your fiscal year (this applies more to business with the year end December 31, 2012 which is coming up shortly). If the assets are acquired and in use…
As you gather all of your slips and receipts to bring to us, it is important to ensure you are gathering sufficient documentation in case of a CRA review/audit. We have provided some useful tips below to ensure the documentation you have is sufficient:
Donation slips: For each donation made, get or request an official tax receipt. The receipt should have the date when the contribution…