SMES: Carbon Tax Rebates on the Way?

July 15 was an important day for carbon-tax weary taxpayers. A Canada Carbon Rebate payment was  made to individuals who have filed their 2023 personal tax returns.  What about the long-awaited $2.5 billion Carbon Tax Rebate For Small Businesses? The delivery date and amounts to be received remain elusive, but one thing is clear: many businesses will have disqualified themselves by missing the July 15 date for filing 2023 T2 returns.  Here’s what you need to know. 

November 3 is the last day for the retroactive claiming of certain pandemic support provisions. Have you spoken about these opportunities to business owner clients you work with? Here are the details:

Did you know that Canada ranks only 16th on the OECD’s  International Tax Competitiveness Index; behind Estonia, which is #1, and even Turkey which is #9.  It ranks 31st for individual taxes and 27th for corporate taxes.  High taxes can have many negative consequences for a competitive economy.  Which are the most damaging? 

The October Knowledge Bureau Report poll question asked: “Are your clients worried about a recession in 2023 and its effects on their financial status?”  Overwhelmingly, the answer was yes, at 87.25%. This means there is a tremendous opportunity to connect with your clients for year-end tax planning and help them stay on plan, with tax efficiency.  Advisors who participated from across Canada had these observations:     

Knowledge Bureau’s Privacy Principles in Business certificate course is designed to help business owners manage today’s critical privacy risks with key tools to implement best practices with the least disruptions.  Consider the amount of confidential personal information you are privy to in conducting business with your clients.  Do you understand the risks associated with holding and using this personal information?

This month is Financial Literacy Month in Canada.  “Financial literacy is defined as having the knowledge, skills and confidence to make responsible financial decisions,” says Evelyn Jacks, a member of the Federal Task Force on Financial Literacy. “It’s a critical life skill especially in these financially challenging times.” For these reasons, Knowledge Bureau is pleased to introduce a new series of short courses to help professionals and their clients untangle today’s complex financial issues:  the CE Savvy Biz Ed™ and CE Savvy PD™ courses. “

Federal tax brackets and personal amounts are indexed annually based on changes to the consumer price index (CPI), but indexing lags inflation by nine months. So, although inflation is running near 7%, 2022 tax brackets and personal amount are 2.4%.  However, 2023 brackets and personal amounts will be indexed at 6.3% based on the average CPI changes from October 2021 to September 2022.  This is the highest indexation rate in 40 years.