2019 taxes – Things you need to know!
As a respected citizen of Canada, you try to meet your tax obligations. But, at the same time, you may look to take some steps legally to save your hard-earned money. Hence, you need to acquire knowledge of the latest tax-related rules and regulations of the current and upcoming fiscal years.
Before approaching any Canadian Tax Consulting Service, explore the below-mentioned sections of this article to get an idea about the latest tax rules and regulations of the 2019 fiscal year.
The Working Income Tax Benefit has been renamed and enhanced
The Working Income Tax Benefit has been renamed and now it is known as Canada Workers Benefit. This benefit has been enhanced from the beginning of 2019 and has been indexed or increased later. The maximum amount for each individual has been increased from $1059 to $1,355, whereas, the amount for each individual having a family has been increased from $1,922 to $2,335.
Get medical expense for your service pet animal
If you have a pet animal that helps you to cope with any physical impairment, then you can claim a medical expense for your pet after filing a tax return.
Some new rules for Registered Disability Savings Plan Holders
The Registered Disability Savings Plan or RDSP assists people with disabilities. In this account, an amount is kept to help a disabled person. If any disabled individual fails to sign a contract or can’t access the RDSP account, he or she can nominate any qualifying person. This person or the administrator must be the legal representative of the disabled beneficiary. But, until 2018, it was difficult and time-consuming to appoint such a representative.
Now, a temporary federal measure will allow an immediate family member of the beneficiary to handle the RDSP account, even he or she is not designated as a legal representative. This facility will be available until the end of 2023. If you are a qualifying member of the beneficiary’s family and have become a plan-holder before the end of 2023, you can act as a plan-holder after 2023 also.
Various changes in rules to prevent tax avoidance
Some changes have been made to the Voluntary Disclosure Program or VDP. You can now apply under a new “Limited Program” and can pay a low amount as penalty.
Changes in rates and limits
Various federal and income tax brackets have been modified. Also, the maximum pensionable earning amount has been increased from $55,900 to $57,400. The employee and employer contribution rates have increased to 5.1% from 4.95%. Within the next five years, this contribution rate will go up to 5.95%.
Finally, the amount of your Canada Child Benefit plan will increase in accordance with inflation rates.
At Accounting & Tax, like a top tax consultant in Toronto, we professionally utilize all of the latest rules and features to offer you monetary gain in a simple manner.
