2019 Winter Tax Newsletter

Welcome to our newsletter with topics and opportunities for your upcoming tax return. Although not intended to be a summary of all tax related issues and changes, we hope this info will encourage you to consider and discuss your return with us, so that we can help you get the best outcome for 2018.

 

Please remember, we are happy to answer any questions that you might have or provide further information on any tax issue, even if not covered in this newsletter, so feel free to call us at 905-831-5335 or via email at admin@schofieldcpa.ca

 

Thank you for your business, and the trust and confidence you have placed in us.

- Sandy

Important Dates for 2019

 

FEBRUARY 28 –  T4/T5 Filing Due Date

 

MARCH 1, 2019 – Last day to contribute to your own RRSP or spousal  RRSP for the 2018

 

MARCH 15 / JUNE 17 / SEPTEMBER 16 / DECEMBER 16, 2018 – Personal Income Tax Instalments due for the 2019 taxes

 

APRIL 1 – T3 Trust Return Due Date

 

APRIL 30 – Personal income tax filing due date for individuals who do not earn self-employment income

 

APRIL 30 – Tax balance due for all individuals

 

JUNE 17 – Last day to file 2017 income tax returns for self-employed individuals (note the payment of tax owing is still due April 30th)

 

 For assistance with additional tax due dates, such as for GST/HST and payroll remittances and installments or for corporations with non-fiscal year ends please contact us and we’ll be happy to help.

Expenses You May Be Able to Deduct

 

  • Employment Expenses
  • Carrying Charges & Deductible Interest
  • Childcare Expenses
  • Legal Fees
  • Moving Expenses
  • Student Loan Interest

 

 

 

Home Accessibility Tax Credit

 

  The Home Accessibility Tax Credit is available for seniors age 65 and older as well as individuals who qualify for the disability tax credit. It allows these individuals a tax credit of up to $10,000 for expenses incurred to renovate to allow them to gain access to, or be mobile or function within the home, or reduce the risk of harm to the individual within or while gaining access to the home.

 

 

 

Basic Personal Exemption

 

Federal Basic Personal Exemption for 2019 is $12,609 up from $11,809 in 2018.

Ontario Basic Personal Exemption for 2019 is $10,582 up from $10,354 in 2018.

 

 

 

2018 Income Tax Package

 

   We will be emailing a tax package which will include the forms required to complete your tax return for 2018 based on your previous returns. We will also have forms available to help organize rental income, moving, self-employment and auto expenses and will be happy to send these to you, just let us know or check our website.

2019 Combined Federal & Ontario Marginal Tax Rates*

Taxable Income

Ordinary Income

Capital Gains

Eligible Dividends

Small Business Dividends

Up to $43, 096

20.05%

10.03%

-6.86%

8.89%

$43, 096 - $47, 630

24.15%

12.08%

-1.20%

13.61%

$47, 630 - $77, 313

29.65%

14.83%

6.39%

19.93%

$77, 313 - $87, 813

31.48%

15.74%

8.92%

22.04%

$87, 813 - $91, 101

33.89%

16.95%

12.24%

24.81%

$91, 101 - $95, 259

37.91%

18.95%

17.79%

29.43%

$95, 259 - $147, 667

43.41%

21.70%

25.38%

35.76%

$147, 667 - $150, 000

46.41%

23.20%

29.52%

39.21%

$150, 000 - $210, 371

47.97%

23.98%

31.67%

41.00%

$210, 371 - $220, 000

51.97%

25.98%

37.19%

45.60%

Over $220, 000

53.53%

26.76%

39.34%

47.40%

* to be used as a guideline only, please contact us if you need more specific information

TFSA Contribution Limits

 

  On January 1st, 2019 the TFSA Contribution Limit increased to $6,000.00.

 

 

Reporting Foreign Property

 

  If you have foreign investments/property costing more than $100,000, remember to let us know. There is a separate form to be filed.

 

 

After April 30th

 

  Did you know on average 5% of all tax returns are questioned by CRA. What this means is that even after they’ve been filed, we are still working for you.

 

  As your representative, we are usually the initial point of contact for CRA, which means any questions before or after assessment come to us first. Often these queries are answered and resolved immediately, as we scan and have copies of all your documentation on file.

 

  In addition, we actively monitor your tax account to ensure that any adjustments made are correct.

  We are available year-round to answer your questions or requests in person, by telephone or by email.

 

  We also enjoy the occasional drop in just to say hello.

Medical Receipts

 

  Claiming Medical Receipts? Your Pharmacist can provide you with a list showing all prescriptions during the past year. Other medical expenses include Massage Therapy, Footcare, Dental, Travel Insurance and many more. If you are unsure, just ask us.

 

 

 

Do you have an RRSP Over-Contribution?

 

  You can over-contribute to your RRSP by up to $2,000 without being penalized. However, if you over-contribute more than $2,000 you will be required to a 1% per month penalty.

 

  If you believe you have over-contributed to your RRSP, let us know and we can help sort through

 

 

 

Filing you Returns Together

 

  Claiming your tax returns together can avoid missed credits or receiving credits you may not be entitled to.

 

  Spouses can combine charitable donations, medical and in certain circumstances take advantage of splitting their pension income.

 

  Preparing your returns at the same time, allows us to make certain you are receiving what you are entitled to and not paying more than you need to.

Our Services

 

  The world of self-employment and business can be tricky.  We can help.

 

Year-round services include:

 

  • Business and Personal Taxes
  • Accounting and Bookkeeping
  • Payroll preparation – including source deductions, WSIB, EHT, etc.
  • Government remittances, including HST, Payroll, T4s, T5s, etc.
  • QuickBooks Certified ProAdvisor (Online & Desktop)

 

  For more information, just ask. We'll be happy to help.

  Please note that the information provided here is for educational purposes only; and although every effort is made to ensure its accuracy, we accept no liability for any errors or omissions.

   Also, as it’s not possible to cover all situations and exceptions; individual circumstances should always be discussed with a qualified professional.

   Please call or email if you would like any further information or have any questions!

Personal Tax Organizer

 

   This is a list of some of the most common forms and information required to complete a personal tax return and should help make sure you take advantage of all eligible credits.

 

   If you are unsure if an item should be included or is deductible; please call, we’ll be happy to advise you.

 

   Please be kind to your accountant and get your info in early! In 2018, we prepared over 1,800 tax returns.

Deductions and Credits

 

  • RRSP Contributions
  • Union & Professional Dues
  • Charitable Donations
  • Medical Expenses
  • Healthy Homes Renovation
  • Child Care/Fitness/Art Credits
  • Property Taxes/Rent
  • Moving Expenses*
  • T2202 Tuition Receipts
  • Student Loan Interest
  • Political Contributions
  • Alimony/Child Support Paid
  • Carrying Charges & Interest
  • Expense
  • Disability Credit
  • Legal Expenses
  • Public Transit Passes (to May 31, 2017)
  • Installments Paid

 

Personal Information

 

  • Birth dates & SIN #’s. - self, spouse, dependents RRSP Limits (from 2017 Assessment Notice)
  • Home Buyers Plan Repayment Schedule
  • Direct Deposit Information
  • Foreign Property over $100,000 in value (includes bank accounts, investments and real property)
  • Did you sell property/stock?
  • Did you move?

 

 

Business, Self-Employed, Comm. Sales

 

  • Employment Expenses*
  • T2200 – Employment Expenses
  • TL2 Meals and Lodging*
  • Home Expenses*
  • Office Expenses*
  • Automobile Expenses*
  • Rental Properties*

 

 

 

Receipts and Information Slips

 

  • T4 Employment Income
  • T4A Other Income
  • T4E Employment Insurance
  • T4A (OAS) Old Age Security
  • T4AP Pension Income
  • T4RSP RRSP Withdrawals
  • T4RRIF RRIF Withdrawals
  • T5 Interest and Dividends
  • T3 Investments, Gains, etc.
  • T5007 WSIB Benefits
  • Social Assistance Benefits
  • Alimony/Child Support
  • Capital Gains/Losses

 

Sandra Schofield, CPA

601 Liverpool Road

Pickering, Ontario

L1W 1R1

About Us

Services

T: 905 831 5335

F: 905 831 8778

 Copyright © 2019 Sandra B. Schofield, CPA. All rights reserved.

2019 Winter Tax Newsletter
2019 Winter Tax Newsletter
2019 Winter Tax Newsletter
2019 Winter Tax Newsletter