Navigating Auto Expense Deduction at Year End: What Clients Need to Know
Doubtless you’ve had clients ask whether they can write off any portion of their vehicle for work or business purposes. And your answer, as always, is: “It depends.” The rules are worth reviewing at year end as they can vary significantly depending on how the client earns their income—employee, self-employed, or incorporated – and this is a deduction that’s often audited. Here’s a practical primer to guide that conversation.“From bad to worse? Next year’s economic risks are already here”
Nothing like a positive headline to grab your attention. The Financial Post article goes on to say: It’s been a miserable year for the global economy. And things could get worse with a mild recession potentially on the horizon. In an extreme downside scenario, this could wipe out US$5 trillion in global output, according to Bloomberg Economics. So, what to do?
What Matters is What You Keep - Year End Tax Planning for Investors and Owner-Managers
There is no doubt your clients are interested in knowing how to inflation proof and recession-proof their wealth and navigate successfully through emerging risks from the CRA.
To accomplish the former, advisors must have broader knowledge on upcoming tax changes and how astute investment planning in a very new economic environment can help clients maximize after-tax income and reduce capital erosion.
The Economic Pain is Multi-Generational: Economic Outlook
Our economy is shrinking and we can’t avoid that. This was the hard truth Canada’s Finance Minister delivered in her November 3, 2022 Fall Economic Report and Mini-budget, which was followed the next day with Explanatory Notes to a 169-page Ways and Means Motion that amends the Income Tax Act for new measures. A brief synopsis of the economic issues follows. Be sure to request a copy of the Knowledge Bureau Special Report; also enrol now to attend the Nov. 16 Annual Year End Tax Update for in-depth details for professional advisors.
The Tax Outlook: Going Up Despite Projected Economic Malaise
Taxes and source deductions will continue to rise despite last week’s grim economic forecasts from the Finance Department. Here is what’s in store based on forecasting in the Fall Economic Report, released November 3.
Mini-Budget Targets Speculators and Business Owners
New taxes are on the horizon for high net worth individuals. While several new tax measures were introduced in the November 3 Mini Budget, many have been created to propel forward defined economic incentives for businesses. Of special note: residential property flipping is getting more expensive. A synopsis follows.
Bill C-32 Continues Pathway to New Tax Provisions
The Finance Minister introduced Bill C-32, Fall Economic Statement Implementation Act on Friday November 4. Noteworthy is the complex pathway to law: this document encompasses previously announced measures from the April 2022 budget and finally the date of implementation of the First Home Savings Account. A synopsis follows; be sure to request a copy of the Knowledge Bureau’s Special Report on the Fall Economic Statement for greater detail.
