Extension of Donation Deadline – Gifts in Kind Don’t Qualify
Last week Finance Canada released draft legislation to confirm the extension of the charitable donation deadline for the 2024 tax year to February 28, 2025. But it’s not for all donations. The fine print in this legislation matters before going ahead and making the donation. Check it out:Will an Extra Tax on Landlords Help Reduce Housing Costs?
In the last election, the Liberal government promised that, after renovations to a building rent increases fall outside of a normal change in rent or are excessive in their view, they will implement a surtax on landlords. It is interesting to think about the repercussions of such a proposed policy and to reflect on whether this the economic outcome that is truly desired, when our collective challenge is to invest in improving buildings for reasons of climate change and health care concerns? Here are the details.
Tax & Financial Pros Weigh in on Effective Economic Reform
This doesn’t happen very often, but the result of our January Poll question which asked: “Do you think personal/corporate tax reforms can spur economic growth in Canada in 2022 and beyond?” were split right down the middle with 50% saying “yes” and 50% saying “no”. Why the mixed results from Canadian tax and financial professionals? Here’s what you had to say:
Inflation Tax and Indexing
The annual inflation rate rose to 4.8% in December 2021, yet many Canadians who have never experienced inflation in their lifetime, may wonder, so what? Over time, as one soon notices, inflation can significantly reduce the real value of Canadian savings and purchasing power. When the computation of taxes or benefits are not fully indexed to inflation, there is also a real, but hidden, inflation tax. Here’s how to plan for it:
Staycation Tax Credit: Ontarians Get Reimbursement for Vacation Costs
Ontario residents reconsidering international travel plans this year due to the pandemic now have even more incentive to explore destinations closer to home – specifically within the province – thanks to the newly introduced refundable Staycation Tax Credit. The tax credit reimburses 20% of eligible accommodation costs, up to a maximum dollar amount. It’s a tax incentive other provinces may want to pick up on to spur on home-based tourism. Here are the details: