Income Splitting

Read more about the article The Benefits And Dangers Of Joint Accounts
Estate Planning / Income Splitting / Wills & Estates

The Benefits And Dangers Of Joint Accounts

This articles discusses the general issues around joint accounts (in all provinces except Quebec). Why Have Joint Ownership? Many people set-up joint accounts for a variety of reasons. For a married or common law couple, it could be for the day-to-day management of expenses. The account provides all parties equal access to the funds in the account to pay bills and manage…

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July 22, 2015
Income Splitting / Tax Planning

Income Splitting Expanded for 2014

The government recently announced new legislation that will expand income splitting to families with children. Back in 2007, the government announced pension income splitting that allowed those who have certain pension income to split up to half of the pension income with their spouse or common law partner. On October 31, 2014, the government announced the new Family Tax Cut as well…

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November 14, 2014
Read more about the article Understanding Income Splitting
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Income Splitting

Understanding Income Splitting

The income tax you pay is based on a set of progressive tax rates. This means that the amount of income tax you pay increases as your taxable income increases. For example, in 2012 you would pay federal income tax of: 15% on the first $42,707 of income you earn, 22% on the next $42,707, 26% on the next $46,992,…

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May 10, 2012
Read more about the article Pension Income Splitting
Income Splitting / Tax Planning

Pension Income Splitting

The 2007 tax year was a big win for seniors when the Government introduced pension income splitting which allows lowering income taxes between spouses. Prior to these new rules, only Canada Pension Plan could be split but the calculation was done by the Government and was not straight forward. How Pension Splitting Works In order to split your pension income,…

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March 3, 2010
Read more about the article What Is Eligible Pension Income?
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Income Splitting / Tax Planning

What Is Eligible Pension Income?

If you receive certain pension income, you may be able to claim the $2,000 pension income tax credit (also known as the pension amount) as well as split this pension income with your spouse or common law partner. But what pension income qualifies? If You Age 65 Or Older If you are over the age of 65, the following qualifies…

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February 6, 2010