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. 

A new Purpose-Built Rental Housing Rebate (PBRHR) is now available for landlords and builders of new or substantially renovated buildings being converted to residential rental units specifically to house students, seniors and apartment dwellers.  The federal government will refund 100% of the GST and federal portion of the HST.  Notably there is no $450,000 fair market value limit on the housing units, as required under existing GST/HST rebate rules.  However, the application process is still not set in stone.

Are you making full use of the tax advantages available by investing in a Spousal RRSP?  It’s a legitimate way to get a lucrative tax deduction in 2024, defer tax on income earned in the registered account, split income in retirement and in many cases, avoid clawbacks of income-tested benefits and credits.  Yet the simple strategy of using a Spousal RRSP for all these benefits is often missed.  Here are the basic parameters to share with your clients, who may wish to start by investing their tax refund.

The Boomers had long dubbed been dubbed the “sandwich generation”.  But increasingly, Gen X and Gen Y are embracing the reality of multi-generational caregiving.  University age children are still living at home well into their 20s – even 30’s.  Elder family members have also thrived with caregiving by family members.  With the affordability crisis, family life is redefining itself in Canada.  That’s why tax and government assistance available for multi-gen family life is an important and hot topic. The last few federal budgets, including April 16, 2024 have promoted the trend to build secondary suites for these purposes with some tax breaks.  Consider the following:

While the government has stated that the new capital gains inclusion rules will not apply to the sales of a principal residence, which qualify for a principal residence exemption, the reality is that there are some important exceptions.  Consider the following and join us on May 22 for the CE Savvy Summit to have a peer-to-peer learning experience, earn 15 CE Credits and obtain access to a comprehensive Retirement and Estate Planning Certificate course and recorded presentations that cover the details.

Did you know that CRA has spent close to $9 million on its Community Volunteer Income Tax Programs?  CVITP grants have been providing in 3700 funding agreements to community organizations that offer free tax clinics.  There is a natural symbiotic referral relationship between certified tax pros and the non-for-profit volunteers, who must pass on more complex returns and returns for those with higher incomes. Knowledge Bureau can help by providing training at special rates to volunteers who wish to upskill with professional certification.

Are you ready to take the next step and help your clients experience financial peace of mind  while recent budget announcements, inflation and more are weighing heavily on Canadian taxpayers. Delivering confident advice has never been more important! Take advantage of an exclusive Program Offer and save $500 on Real Wealth Management™ Program tuition until May 31. Experience the education first by taking a risk-free Orientation, which includes a recording of a live RWM™ round table discussion.