Take advantage of 2016 year-end tax saving opportunities, some which are only available for the last time before December 31. Ideally, tax planning should be a year-round affair since many tax strategies require foresight to be effective. The good news: there are still opportunities to reduce your 2016 tax liability, particularly if you act before the end of the calendar year.
Rapidly changing tax laws mean periodic business and personal tax planning and financial advice is absolutely essential for all business owners, individuals, corporate executives and professionals.
Don’t leave your tax planning to chance! We will show you how a personal customized tax strategy will save you money.
TAX TIP The 2016 tax year is the final year that parents can claim the Children’s Fitness and Arts Credits so if you won’t be spending enough in 2016 to maximize these credits, consider prepaying now these expenses for 2017. For example, if you plan to enroll your child in soccer or piano for 2017, you can claim the credits in 2016 if you pay for the activities by December 31. Contact us now to learn how to minimize your tax liabilities.
The following payments are due by December 31, 2016 to claim on your 2016 Tax Return:
- Charitable donations
- Association dues and professional fees
- Medical expenses
- Alimony and maintenance support payments
- Investment counsel fees, interest and other investment expenses
- Child care expenses
- Moving expenses
- Political contributions
- Tuition fees for yourself
- Deductible legal fees
- Interest on student loans
- Tax shelter investments
- Contributions to your RRSP if you turned 71 during 2016. By this date, any RRSP will have to be wound up by you
- This is a partial list. Contact us now for specific advice on your situation
TAX TIP You should re-balance your mutual fund corporation portfolios now because effective January 1, 2017, if you switch mutual funds within the mutual fund corporation from one class of shares to another, it will result in a disposition for tax purposes at fair market value. But where the switch occurs between different series of the same class, it will occur on a tax-deferred basis. Contact us now for important tax savings advice regarding your investments.
Payments due by FEBRUARY 28, 2017 include:
- Contributions to a TFSA Tax-Free Savings Account
- Deductible RRSP contributions to your own or a spousal RRSP
- Contributions to a spousal RRSP if you are over 71, had earned income in 2015 (or unused contribution room from prior years) and your spouse will be under 72 in 2017
- RRSP repayments under a Home Buyer Plan or a Lifelong Learning Plan
- Contributions to federal or provincial labour-sponsored venture capital corporations and other provincial plans
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Now more than ever you need our strategic tax consulting, comprehensive business advisory and financial planning services. We also use the most advanced state-of-the-art technology to minimize your income tax liabilities.
To arrange your personal and confidential FinancialCHECKUP™, call now 905-709-HELP or click here.