Over my career, I’ve seen a lot of journal entries and I’ve seen what can happen to someone’s livelihood when bookkeeping mistakes are made. The fact is, that one of the most common reasons a business fails is due to poor financial management. Your financial records will tell you where you stand: How much cash you have, Where the cash…
Income splitting can produce some pretty dramatic results. Consider the case of a married, self-employed individual whose taxable income is in excess of $250,000. Assuming the spouse does not work, the tax bill would be $94,700 (in Ontario). If this couple were to split their income equally, their combined tax bill would drop to $77,700, a savings of $17,000. Now if…
I`ve noticed a few websites have been writing that the RRSP deadline is March 1st. The Income Tax Act allows you to deduct RRSP contributions made in the first 60 days of the year following the tax year. Since 2012 is a leap year, the last day to contribute to your RRSP and claim the deduction on your 2011 income tax…
If you have left Canada to work in another country or are considering moving from Canada, it is important to consider the income tax consequences and your tax options. If you are a resident of Canada, then you are required to pay income tax on your woldwide income. Leaving Canada to take up residency in another country may not be enough to…
