What a week we’ve had with multiple snow storms…we’re still digging our way out of it. Last week, we hosted a webinar for those involved in Not-For-Profit organizations. If you missed it, you can watch the replay here. This week, we will host a webinar on personal income taxes. There are recent changes you need to be aware of as you prepare to file your personal taxes this season. You will find more information on this including how to register for the webinar in this issue of my Weekly Top 5. I also share other valuable tips and resources. Enjoy and please remember to share this with everyone in your network:

1. A FREE Webinar On Personal Taxes & Tax Planning Tips

Join us for a special webinar as we share some important updates on personal taxes ranging from the capital gains inclusion rate, alternate minimum taxes, trust filing, CRA scam update, tax credits/deductions, and many more...

We will also share some important tax planning tips to help you save on taxes.

When: Wednesday, February 19, 2025

Time: 5 PM Sharp

Where: Online

To register for the webinar, go to: gmscpa.ca/personaltax​

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2. Do You Own A Corporation With A December 31 Year-end?

As some of you may know, we provide a number of services for corporate clients and it’s that time of the year when corporations with a December year-end should start organizing their documents to compile their financial results, estimate taxes, plan their cash flow for the new year and several other things. While we obviously help corporations with the tax compliance work of filing their annual corporate tax returns, we do provide other additional value-added services such as:

• Streamlining and automating the majority of your bookkeeping processes
• Doing a cash flow and budget analysis for your corporation
• Estimating corporate tax liability and developing a plan for installment payment of your taxes
• Corporate tax planning including how to invest corporate dollars and how to properly use insurance within your business to mitigate risk and plan for retirement
• Corporate restructuring to ensure you’re organized in the most tax-efficient way
• Remuneration planning to ensure you’re taking money out of your corporation in the most tax-efficient manner
• How to use your corporation as a nest egg for your retirement in a tax-efficient manner.
• And many more…

If you’re looking for solutions for your corporation consider working with me and my team at GMS Chartered Professional Accountants LLP. I invite you to book a complimentary time to chat with me here.

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3. Know Your Marginal Tax Rate and Save On Taxes

Did you know that you could plan your affairs to save on taxes if you know your marginal tax rate? The Canadian tax system is based on marginal tax rates. This simply means that the more money you make, the more taxes you pay. As your income increases, so does your marginal tax rate. Marginal tax is the dollar amount of tax you pay on any additional dollar of taxable income.

For example, based on the rates in the table above for someone that lives in Ontario and earns $50,000 of employment income, you would be in the 29.65% marginal tax bracket and you would pay 29.65% in taxes for every dollar you earn above $48,535. If you earn $100,000 of employment income, you would be in the 43.41% marginal tax bracket and you would pay 43.41% in taxes for every dollar you earn above $97,070. By knowing your marginal tax rate you can save money by intentionally planning to keep your income from being taxed at a higher rate. To read the full article I shared on this, go here.

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4. Three ways to save taxes by changing your facts

Did you know that the majority of tax laws are written to motivate certain behaviors? The government will use tax laws to levy more taxes. But it will also use tax laws as tools to shape the economy by promoting social, agricultural, and energy activities. The government wants the economy to grow. To achieve this goal, the government provides incentives to people to engage in the activities that will drive growth in the economy. The wealthy understand this. So, they take advantage of these tax laws and engage in the activities that provide tax incentives. And by doing this, they save a lot in taxes. The poor and the middle class don’t understand this. They don’t see anything good in the tax law. As a result, they miss out on many tax incentives hidden in the tax law. If you want to save on taxes, you have to model what the wealthy are doing and engage in similar activities.. In this article, I share three ways to save on taxes by changing your facts. Read it here.

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5. Key Expenses to Deduct for Your Rental Property

Are you a real estate investor looking to maximize your wealth? In this short video, I share the key expenses to consider as you prepare to file your tax returns. Capturing all the relevant expenses will ensure you minimize the taxes you pay on your income. Watch it here.