Tax-Saving Tips

Tax-Saving Tips

No one likes to pay more taxes than they have to-but when was the last time you checked to make
sure you're taking full advantage of all the tax-saving opportunities that are available to you?

Here are a few ways that you could be saving on your taxes. This information is provided by our friends at Manulife Financial.

Deductions
Deductions can help reduce your taxable income. The following outlines some different types of deductions that could help save you more.

- RRSP contributions: RRSP contributions can be deducted (up to the contribution limit)
- Investment expenses: You can deduct fees paid to manage or administer your non-registered investments.
- Daycare expenses: You can deduct qualifying child care expenses paid so you or your spouse can earn income, to go to school or conduct research.
- Relocation: You can claim moving expenses if you moved at least 40KM closer to your place of work, or school.

Credits
Tax credits work to reduce your taxes payable and can be received on the following.

- Are you a first time home buyer?  You could qualify for the First-Time Home Buyers' Tax Credit-worth up to $750.
- Medical expenses: You can claim eligible medical expenses for yourself, your spouse and dependent children under age 18-that were not paid for by a provincial or private plan.
- Do you give to charity? Donations over $200 receive a more generous credit, so consider pooling your donations with your spouse.
- Are you a student? If so, you can claim your tuition, textbooks and interest paid on student loans.
- Transit: If you pay monthly transit fees (i.e: bus pass)  you can claim the cost.
- Pension income: The first $2,000 of eligible pension income qualifies for the income tax credit.

If you have more questions about how you can save on your taxes, contact us today. We are here to help!

DON'T FORGET THIS YEARS TAX DEADLINE IS MAY 2ND