Shaelene’s Tax Tip of the Week – March 9th

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Did you know?

Know the difference between a “tax credit” and a “tax deduction.” A deduction is an expense or exemption which reduces your total taxable income. The tax credit is what reduces whatever you’re on the hook for income tax wise.

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Shaelene’s Tax Tip of the Week – March 2nd

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Did you know that Canadian artwork and antiques can be a taxable expense?

Qualifying artwork can be capitalized and depreciated at a tax rate of 20% for tax purposes. To qualify, the artwork must meet the following criteria:

  • the artwork must cost $200 or more
  • is not held for resale and is exhibited in a place of business where it will be seen by clients
  • is acquired for the purpose of gaining or producing income from an arm’s length individual
  • was created by an individual who was at the time a Canadian

If the artwork has appreciated and is sold, it will result in recapture of CRA up to the amount of the original cost of the artwork and this recapture will be included in the business income. Any amounts over and above the original cost would be considered a capital gain.

Have questions? Give us a call at 905-571-2665 (BOOK)!

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Shaelene’s Tax Tip of the Week – February 16th

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⬇️  Important dates to remember and RRSP limit changes for 2021 and 2022. ⬇️

  • March 1st is your deadline for RRSP contributions
  • March 15th is your deadline for all paperwork (included completed bookkeeping) to be handed into the office. This is in order to have your income taxes completed by May 2nd
  • May 2nd is your deadline to file your taxes (unless self-employed)
  • June 15th is your deadline to file your self-employed taxes, but any money owing must be paid by May 2nd
The limits have been changed for RRSP and are as follows:
  • For 2021 your RRSP limit is 18% of your earned income to a maximum of $27,830, minus any pension adjustments
  • For 2022 your RRSP limit is 18% of your earned income to a maximum of $29,210, minus any pension adjustments

We’ve got you covered!

Have questions? Give us a call at 905-571-2665 (BOOK)!