Podcast: Automatic Tax Filing - Will It Work?

Last week Taxpayers' Ombudsperson François Boileau  tabled his annual report:  In Pursuit of Better Service: Taxpayers Deserve More.  once again, it was nothing short of scathing, as CRA received its highest number of complaints in the last three years.  Calling our “completely nuts” Income Tax Act a potential barrier, he is nonetheless pushing for automatic tax filing as a potential solution.  A new episode of Real Tax News with Evelyn Jacks & Friends available next week, will feature guest Gillian Petit, Ph.D. - author of a great report, Welcome News for Lower-Income Canadians, but There’s More to Do - which takes a deeper dive.  Consider the following:

Thinking of enrolling employees for training this fall?  The Canada-Manitoba Job Grant will begin accepting applications July 24! But the grants go quickly so apply now if you are interested in enrolling employees in Knowledge Bureau training programs.  Up to $10,000 per individual can be received.  The grants are available in other provinces too, but with varying deadline dates. Details below:

CRA will start legal action to collect 9.53 billion in overpaid pandemic supports like CERB, Canada Recovery Benefits and Canada Recovery Caregiver Benefits. This is a very large number,  representing half of the amount of expected taxes to collected by the new capital gains inclusion rate increase to 66 2/3% over $250,000.  Are you or your clients feeling the pinch?  Here’s what to know to soften the blow:   

It just doesn’t seem right.  Canadian resident recipients of German Social Security – some now close to 100 years old -  have long been embroiled in a complex “give and take” when it comes to their pension eligibility and taxation.  In at least one case, the fight for tax fairness has caused on couple to pack up and leave the country, according to a tax professional who contacted us with the story.  Here are the issues and how to help:

With a very challenging tax season behind us and more complexity on the horizon with new tax rules, business owners would be wise to take the opportunity in the “off season” to re-think wealth creation in an asset class that others don’t have: the equity in a business enterprise that some day may be sold for millions of dollars.  There are new opportunities to arrange ownership structures to use a new $1.25 Million Capital Gains Exemption or the new Canada Entrepreneur’s Incentive, in addition, the new capital gains inclusion rates, the Alternative Minimum Tax (AMT) and new intergenerational business transfer rules to consider.  This requires the help of a trusted financial advisory team.  Who should be on that team and how do you find them?  Here are some tips:

Knowledge Bureau is pleased to introduce a new Diploma in Advanced Family Tax Compliance.  The program provides critical technical studies for professional tax accounting and financial advisors whose clients are facing increasing tax audit risk with recent changes for capital gains dispositions, rental property ownership and family business succession.

Have you added your company’s logo to the list of esteemed partners at this year’s Acuity Conference for Distinguished Advisors?   There is still time to promote your good work nationally and join this illustrious group. Get in by September 30!