THE TAX MAN COMETH. ARE YOU MAXIMIZING YOUR PERSONAL TAX BENEFITS?

— February 17, 2015

Are you making sure that you receive all the tax benefits you deserve? It is not possible to produce a comprehensive list in this article, but here are a few things that you may want to consider:

1) If you have earned income are you taking advantage of RRSP’s? The amount allowable each year to deduct from your income is based on the amount of your total RRSP room, which builds up each year at a rate of 18% of your previous year’s earned income.

2) If you are a working parent, are you getting receipts for child care expenses?You can claim up to $7,000 for children under age 7, and $4,000 for any children from age 7 to 18.

3) have your children who are under 17 been involved in active sports or arts? If so make sure you get receipts and claim tax credits up to $500 per child.

4) Do you have a pension income and a spouse? For certain types of pension income you may be eligible to split up to 50% of that income with a spouse.

5) Do you have any non-registered investments? If so you may qualify to claim carrying charges, including interest or professional fees.

6) If you are attending a university or college you may claim tuition fees as well as an education and textbook amount. Also up to $5,000 may be able to be transferred from a child or spouse.

7) If you make donations up to $200 you only get a total tax credit of 23.79%. On every qualified donation over $200 there is a 50% tax credit.

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