Tax Tips Part 2
Tax on Split Income
Owner-managers often try to split income with children to lower their tax liability. This is not always effective. Split income will include income earned through a trust or partnership that is derived from a business or a rental property of the trust or partnership, if a person related to the minor is actively engaged in the business or partnership.
Medical Expense Tax Credit
Taxpayer can claim amounts paid for the design of an individualized therapy plan for an individual eligible for the Disability Tax Credit.
Donation Of Ecologically Sensitive Land
The CFWD has increased from 5 to 10 years.
Search and Rescue Volunteer’s Credit
The Rescue Volunteer’s credit is a non-refundable credit worth $450 (15% of $3,000).
Disclaimer: Articles are for general information only and do not constitute tax advice. They cannot be relied upon.
Sam Faris is a Toronto-based Chartered Professional Accountant who practices as an independent consultant on high-level Canadian tax matters and handles disputes with CRA. He has recently published an article a business magazine: HERE.