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. 

Especially in light of family business tax changes; and new technology advancements at CRA, a financial intermediary who can integrate advice on all aspects of a financial transaction – from banking to tax reporting - will be well positioned to help both new market entrants and older clients with tax problems it’s high value advice that crosses all demographics. Take 10! Join us for an interactive DMA™ Program Orientation and become a DMA™- Accounting Services Specialist.

Did you know that the moving expenses deduction has been around since the 1972 taxation year?  It was one of the original provisions of the Budget 1971 – which introduced the last major tax reform in Canada.  It was originally intended to recognize the expenses incurred in moving to a new job or educational institute to study and since has been extended to include moves to new locations for self employment purposes as well.  About 85,000 people claimed this deduction based on most recent statistics and it is quite lucrative.  Here’s what’s claimable:

I have heard and seen a lot of funny things on planes, trains and other modes of transportation, but a memorable episode recounted by a fellow traveller involved an emotional support turkey firmly grasped by its owner who was afraid of flying. It reminds me of a question I often get:  can I claim  my fur-baby on my tax return.  In some cases, the answer is yes.

Some might think this is too good to be true:  the realized capital gain on some financial assets is not subject to regular income tax if the security is transferred to a charity.  That’s right, the gain is avoided entirely. . .almost.  Here is what you need to know to make a social impact throughout the tax year, and reap impressive tax benefits too.

The final repayment deadline for outstanding CEBA loans is today, March 28.  This is the last opportunity to preserve any of the up to $20,000 in loan forgiveness.  Those business owners who failed to arrange financing for repayment must pay up the entire loan plus interest.  Will that push more businesses to close?  If so, it would add to the over 2200 business which closed their doors in December of 2023, for a total of 8 months of active business closures in 2023, according to Statistics Canada.  Check out the provincial trends:

This tax season will be remembered as a challenging one for most tax accountants and financial advisors who work with Canadians who have long tried to protect their savings and their heirs from financial ruin in retirement.  There are two reasons: CRA’s new filing requirements for bare trusts and the significant cost factors retirees now face due to inflation, taxes and professional fees to keep it all straight.  That makes it a great time for a bootcamp.