Definitive Wealth CPA reposted this
As we head into the end of the year, here are some quick tax updates to keep in mind: Donations - Due to the Canada Post strike, the CRA announced today that any charitable donations made up until February 28, 2025 can count towards the 2024 tax year. A list of registered charities can be found here: https://lnkd.in/ei-hxXd Capital Gains Rate Change - You may have heard in the news that the capital gains inclusion rate has changed from 1/2 to 2/3 for individual capital gains exceeding $250,000 and all corporate and trust capital gains. As of now, the CRA has not updated its T1/T2 forms and schedules and the official legislation surrounding the change has not been passed. With a potential election and vote of non-confidence just over the horizon, it is uncertain whether this capital gains rate will end up happening. We will have to continue to wait to find out. RRSP/TFSA Deadlines - In order to count towards the 2024 tax year, RRSP contributions must be made before March 3, 2025. The maximum amount you can contribute to your RRSP can be found on your notice of assessment or through CRA My Account. The TFSA contribution room for 2025 will be $7,000 and this room will be available January 1, 2025. Automobile Allowances (2025) - For those of you who are operating a business, the tax-free allowance available for the use of an automobile for business purposes has increased to $0.72 for the first 5,000 km and $0.66 for each additional km as of January 1, 2025. Personal and Corporate Tax Deadlines - The deadlines for this upcoming year are as follows: T1 Personal Income Tax Returns are due April 30, 2025. This is extended to June 16, 2025 if you or your spouse is self-employed. Please note that regardless of the deadline, all balances of tax owing are due on April 30, 2025. T2 Corporate Income Tax Returns are due 6 months after year-end. Balances of tax owing are due 2-3 months after year-end (depending on the company). GST/HST Break - Lastly, there is currently a GST/HST break on select items until February 15, 2025. The full list of items that qualify is available here: https://lnkd.in/ezHjksjy As always, if you find yourself in the market for professional tax advice or assistance with your tax returns, don't hesitate to reach out - richard@definitivewealthcpa.com #taxupdates #canadiantax #definitivewealth