Back to School Tax Breaks

Like tax season, back-to-school season rolls around annually with certainty. But in today’s inflationary environment, the start-up costs for getting the family organizing for the school year may seem daunting. The good news is that tax and financial advisors can help clients understand their tax planning options and manage all the receipts that can lead to tax breaks later in the spring during tax filing time. Here’s a primer of topics you may wish to discuss:

Are you training new and returning staff working in independent tax filing firms? Perhaps you are  a CPA in public practice, a financial advisor, public trustee, legal or financial assistant, municipal officer, payroll or software company serving individuals and business owners with tax compliance?  Then don’t miss Knowledge Bureau’s acclaimed Advanced T1 Tax Update 2021 for 2020 T1 Returns.  Here’s what’s new in our innovative offerings this year:

With the dramatic increase in online transactions and digital solutions, and the challenges and opportunities presented by the pandemic, clients require more frequent professional communications, improved collaboration between their financial professionals and more efficient processes in building wealth with all family stakeholders in a highly complex tax and investment environment. Differentiate yourself as a Real Wealth Manager™ to help with high value professional skills. Consider the following:

This year, the tax season will again be different, particularly with new rules stemming from pandemic benefits and tax credits and the complexity they have created for tax filers. And, lots has  changed at the CRA,  too. That’s why there is a great  opportunity for professionals and new entrants to the tax preparation market to improve their credentials during the continued lockdowns.  

It is the time of year for us to reflect on how lucky we are, despite the incredible challenges of 2020.  We are mindful of our good health and the privilege to continue to serve, while others have suffered the terrible losses that have come with the reality of the pandemic. For these reasons, we will be making a donation to our local food bank and our local animal shelter and we hope that you will consider doing the same.

A new Statistics Canada Report, the “2019 Survey of Financial Security” was released on December 22 and provides some important insights to what Canadians need to do to build financial security, especially when recovering from these uncertain times. What secrets were revealed? Here’s a hint: it relates to the holding of specific assets that drive wealth accumulation.

A new study on the savings habits of Canadians in their Tax Free Savings Account (TFSA) conducted by the Bank of Montreal, sheds light on many missed opportunities. But it’s not too late for investors to catch up and thrive with this completely tax-free opportunity.