Changes to Paper Filing Disempowering

Last tax season, only 7% of all Canadian tax filers filed on paper. The CRA is pushing for zero. It continues to steer the holdouts to digitized filing by adding lots of obstacles. Most recently, it is removing almost all the schedules from the tax return package it mails. This seems unfair to people who paper file because they can’t afford a computer and internet, distrust the security of online filing and those who are neither tax or computer literate. Here’s what they are up against:

Dr. Andreaa Vanacker will share her remarkable story and experiences to help you consider the role of joy and purpose in financial decision-making. You’ll be exposed to a new perspective in encouraging those you influence, to assess their legacy and optimize their most important asset: time. Learn more, only at the Acuity Conference for Distinguished Advisors November 10-12 in Montreal. Register by the September 15 early-bird deadline!

This is an annual favorite book, especially at year end tax planning time, by Jenifer Bartman and Evelyn Jacks from publisher Knowledge Bureau. It addresses a common family secret that plagues millions of Canadians from coast to coast: what to do with the family business at a time when boomers are contemplating retirement.  Will the business sell for the millions owners hope for, blow up, or just wind down?   Will family relationships survive it all?

Especially if you are working with a business owner thinking of transferring the interests in their small businesses to the next generation, consider commenting on the draft legislation released by the Federal Government on August 12.  These clients require more information about new taxing initiatives; in particular, the changes to the Capital Gains Inclusion Rates (CGIR) and the related Lifetime Capital Gains Exemption (LCGE), the new Canadian Entrepreneurs’ Incentive (CEI) and Employee Ownership Trusts (EOTs).  But the rules are very complex and the deadline for response to the draft rules is short: for the CGIR rules, it’s September 3.  For the case of the CEI it’s September 11.   Here’s what you need to know:

Real estate investments have been all over the news with the announcement of several new tax provisions recently.  One of these concerns residential property offered on platforms such as Airbnb or VRBO as a short term rental.   Expenses normally deductible in reducing rental income will be denied effective January 1, 2024 if the property is not in compliance with provincial or municipal laws.  That naturally leads to an important question: what is deductible if the properties fall in line with the law?  Here’s what you need to know:

Parents and students are not the only ones who incur school supply costs.  Teachers across the country are back at school, preparing for their new classes.  In the process they might be incurring some out-of-pocket costs, which are tax deductible.  Here’s what you need to know and share with your teacher friends to shine a light on some good financial news:

New! Get hooked on taxes preparing true-to-life case studies on professional tax software.  File simple tax returns confidently. This 20-hour pre-requisite to Knowledge Bureau’s highly acclaimed professional Diploma and Designation Programs is perfect for anyone new to personal tax filing and especially valuable for career development in the tax preparation or financial services. Pre-register now. Canada’s Income Tax Fundamentals Course™ will be available August 31 and you can take advantage of this pre-sale offer, ending this week!